Hong Kong, Nov 17: Hong Kong conglomerate Hutchison Whampoa Ltd plans to begin marketing a three-billion US dollar bond this week, a spokeswoman said today. A spokeswoman for Hutchison, Nora Young, confirmed that "several banks are arranging the issue of three billion dollars worth of bonds" which will come in maturities of seven, 10 and 30 years.
Each Tranche is expected to be worth at least 750 million dollars.
The Standard newspaper reported that the bond offering was to help refinance existing debt for the firm, headed by Asia's wealthiest tycoon Li Ka-Shing, although Young did not confirm this.
Young added that Citigroup, HSBC and Merill Lynch would be the bookrunners for the issue, while Morgan Stanley would be handling the 30-year Tranche, JP Morgan the 10-year Tranche and Deutsche Bank the seven-year Tranche.
The company will kick off roadshows today in Los Angeles and London, and hold conference calls with investors in Asia and Europe.
The roadshows will move to Boston and New York tomorrow and pricing of the deal is expected after the roadshows.
The ports-to-telecoms conglomerate has already sold 4.5 billion dollars worth of bonds so far this year in four trips to the market.
To calm investor fears about supply risks, the company has pledged not to raise fresh US dollar financing for six months after the coming bond sale, the standard reported.
Bureau Report