The Hong Kong Airport Authority completed a debut international bond yesterday Wednesday, pricing its $350 million deal at a predictably tight level on the back of huge demand from its home market.
Under joint leads Goldman Sachs and HSBC, pricing of the 10-year transaction came at 99.078% on a coupon of 5% to yield 5.119% or 75bp over Treasuries. Fees were a miserly 15bp.
On a Libor basis, the A rated deal priced at about 28bp over. This is roughly 5bp to 10bp through the trading levels of the MTR Corp and KCRC on a like-for-like basis. Both of the transport companies have extremely illiquid bonds outstanding, both of...
