On November 12, 2015, China State Construction Engineering Co., Ltd.(CSCEC), through CSCEC Finance (Cayman) Limited which is affiliated to its Hong Kong subsidiary, issues US$ 500 million in principal amount of secured notes with a coupon of 2.95% due 2020.

This issuance adopts the model of “offshore financing against domestic guarantee” with the parent company CSCEC offering direct guarantee. Jingtian & Gongcheng is the PRC legal counsel of the underwriter to provide comprehensive legal services.

The issuance is the first time that CSCEC raises financing on overseas capital market as a whole.

CSCEC is the largest construction and property group in the world, as well as the largest housing contractor in China. It remains at the top of China’s overseas engineering contracting business for a very long time, and is the largest multi-national construction company in the developing countries and regions, as well as the largest housing constructor in the world. CSCEC is famous for its “tall, big, rare, top, new” projects, and has undertaken many landmark architectures in China and the rest of the world. 

The three top rating agencies in the world give CSCEC the highest credit rating for this issuance.

On September 14, 2015, just after the project gets started, SDRC promulgated Notice of the State Development and Reform Commission on Promoting the Reform of the Registration System of Foreign Debts Issued by Enterprises (SDRC Foreign Investment [2015] No. 2044). In line with this new rule, CSCEC submits Registration Certificate for Enterprises to Issue Foreign Debts.