Money

China's financial leasing sector issues 1st financial bonds

(Xinhua)
Updated: 2010-05-28 09:55

BEIJING - China Huarong Financial Leasing Co, Ltd issued 1 billion yuan ($147 million) in bonds Thursday, according to a statement posted on the company's website.

Huarong Financial Leasing became the first of its kind to issue bonds as China opened issuance to leasing firms to diversify its bond market, said Hu Jiliang, president of the firm.

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With a domestic agency rating of AA+, Huarong Financial Leasing's bonds comprise three-year and five-year tenors with interest accrual rate of 3.86 percent and 4.6 percent respectively, Hu said. The move aims to keep the company's asset and liability stable as a whole, according to the statement.

China Huarong Financial Leasing is a subsidiary of China Huarong Asset Management Corporation, one of four State-owned asset management firms.