Gome sells bonds to raise funds
China Daily | Updated: 2009-09-24 08:26
Gome Electrical Appliances Holdings Ltd, China's second-biggest electronics retailer by market value, sold 2.05 billion yuan of convertible bonds to help refinance debt and boost capital.
The five-year, 3-percent notes were priced to yield 4.14 percent and can be converted into shares at HK$2.838, a 29-percent premium to Tuesday's closing price, according to a term sheet e-mailed by sale manager JPMorgan Chase & Co yesterday.
Gome has 4.6 billion yuan of zero-coupon convertible bonds due May 2014 that bondholders can ask the company to redeem in May next year, according to data compiled by Bloomberg. The company raised 1.59 billion yuan in June from a sale of 5-percent convertible notes.
Photo
