Pricing of a HK$1.5 billion $193 million convertible has been described as cheap but fair by most market participants and as a result, barely moved from par right through the grey to secondary market trading yesterday Tuesday.
Lead manager Merrill Lynch was felt to have a relatively difficult job on its hands putting together a transaction which would not prove too costly for the company and yet investors would still buy when they had a much stronger credit to choose from in Hang Lung Properties, whose HK$2 billion deal has also performed extremely since its launch in early March.
Terms subsequently comprised a five-year final maturity, coupon of 3.75%, yield of 4.75%...
