IFLR1000

Lenovo Group $1.35 billion 3.875% and 5.375% notes issues

24/3/2017
Investment grade bond/note issue
Select tab

$ 1.35 billion

Completed

24/3/2017

Overview:

  • Lenovo Group—a Chinese multinational technology company—has made two simultaneous debt issues valued at $1.35 billion.
  • The issue consisted of a senior tranche of $500 million 3.875% notes due 2022 under its $3 billion MTN programme, and a subordinated tranche of $850 million 5.375% perpetual notes in the form of cumulative preferred shares, with a performance guarantee from Lenovo Group. 
  • The transaction's use of a preferred share structure with a performance guarantee to maintain the integrity of the SPV and the structure was a new development for the market.

Adam Majeed - Regional editor

Jurisdictions:

China
Hong Kong SAR

Deal type:

Investment grade bond/note issue

Practice area:

Capital markets : Debt

Industry sector:

Technology and telecommunications

Firms:
Cleary Gottlieb Steen & Hamilton

Party: Lenovo Group (Issuer)

Lawyer: Freeman Chan

Clifford Chance

Party: Australia and New Zealand Banking Group (ANZ) (Joint lead manager)

Party: Barclays Bank (Joint lead manager)

Party: BNP Paribas (Joint lead manager)

Party: Citigroup Global Markets Ltd (Joint lead manager)

Party: Credit Agricole Corporate and Investment Bank (Joint lead manager)

Party: DBS Bank (Joint lead manager)

Party: Merrill Lynch International (Joint lead manager)

Party: Mizuho Securities (Joint lead manager)

Party: Morgan Stanley (Joint lead manager)

Party: MUFG (Joint lead manager)

Party: Société Générale (Joint lead manager)

Party: Standard Chartered Bank (Joint lead manager)

Party: Bank of Communications (Joint lead manager)

Party: China Construction Bank (Joint lead manager)

Ogier

Party: Lenovo Group (Issuer)

Lawyer: Anthony Oakes

Related deals