Dentons assists China Industrial Asset Management on its private placement of debt financing instruments

On December 20, 2018, China Industrial Asset Management Co., Ltd. (CIAMC) successfully completed its private placement of AAA rating, RMB 1 billion, three-year, 4.85% coupon rate Series I Debt Financing Instruments. Investors actively subscribed, with an overall oversubscription of 3.98 times and a marginal oversubscription of 1.33 times.

A Dentons Fuzhou team, consisting of senior partners Lu Haifeng and Qi Wei, and associate Chen Wei, provided full scope legal assistance on this deal. They were highly appreciated by both the client and the participating agencies for their quality legal services, professional competence and work attitude.

CIAMC was established by China Industrial Asset Management Limited, a wholly-owned subsidiary of China Industrial International Trust Limited (a subsidiary of Industrial Bank Group), and approved by the People's Government of Fujian Province. It is the second provincial-level asset management company in Fujian that is approved by the China Banking Regulatory Commission and qualified to acquire and dispose large quantities of financial enterprises' non-performing assets.

In this issuance, Industrial Bank served as the lead underwriter, China Construction Bank was the joint lead underwriter. The instrument marked a magnificent debut of CIAMC in the capital market. Compared with similar bonds issued by peer asset management companies, the instruments got a high oversubscription, a great interest rate discount window, and a quick release, signifying that the good development prospects and debt repayment strength of CIAMC has been highly recognized by the capital market.