Harneys, Jingtian & Gongcheng, King & Wood Mallesons and Linklaters are assisting renowned jewellery group Chow Tai Fook to issue HKD8.8 billion in convertible bonds.
Chow Tai Fook has engaged Harneys to advise on Cayman Islands law, while Jingtian & Gongcheng is responsible for Chinese legal matters. UBS, the lead manager, received legal advice from KWM and Linklaters, who advised on PRC and English law, respectively.
According to HKEX disclosures, the convertible bonds with a 0.375% coupon rate will be issued on 30 June, mature in 2030 and have an initial conversion price of HKD17.32 per share. If the bonds are fully converted, a maximum of 508,083,141 new shares will be issued.
The funds raised from this bond issuance will primarily be used for expanding its business, upgrading stores and meeting related market development needs.
This marks the second large-scale bond issuance in the Hong Kong market in June. Previously, Ping An Insurance completed an HKD11.7 billion zero-coupon convertible bond issuance, with Linklaters serving as legal counsel and providing legal services for global co-ordinator Morgan Stanley.
