Clifford Chance advises $4.25b Additional Tier 1 issuances

by |
Clifford Chance acted for the underwriters on China Cinda Asset Management's issuance of US$3.2 billion in aggregate principal amount (about $4.25 billion) of 4.45% noncumulative perpetual offshore preference shares.
This is the first preference share offering by a nonbank financial institution from China to replenish Additional Tier 1 capital and continues the firm’s strong track record advising on Additional Tier 1 issuances.
Partners Angela Chan and Fang Liu led the team and they were supported by associates Song Yue, Torrance Shi and Nancy Mu. Partner Alex Lloyd provided expertise on the Volker Rule.
The practice also advised the underwriters on Huishang Bank Corporation Limited's US$888 million 5.50% non-cumulative perpetual offshore preference shares, which will count towards Additional Tier 1 capital.
Partners Connie Heng, Fang Liu and Angela Chan led the team and were assisted by associates Song Yue and Torrance Shi, and legal assistant Qingyu Wu.
Partner Connie Heng, Head of Capital Markets for Asia Pacific, said, “Our team has consistently dominated the Additional Tier 1 space on behalf of banks. Our expertise is now being sought after by new issuers including in asset management. Congratulations to our clients and to our team on the success of these offerings.”
Previous landmark issuances the Firm has advised on include Bank of China's US$6.5 billion (about $8.65 billion) offering of Additional Tier 1 preference shares in October 2014, and the first offshore regulatory capital as a Chinese bank, and China Construction Bank's issuance of US$3.05 billion (about $4.06 billion) preference shares in December 2015.

Related stories:
Multi million savings pushes Clifford Chance to consider additional support centre
Clifford Chance to make legal AI for financial institutions