WASHINGTON, D.C., Feb. 8 -- The International Finance Corporation (IFC) launched a HK$500 million bond issue (US$65 million equivalent) in the Hong Kong capital market on February 3, 1993. The 7-year maturity fixed rate bonds will carry a coupon of 7.45% payable semi-annually and were issued at par. The proceeds of the issue will be swapped into US$ floating rate funds through a HK$ fixed to US$ LIBOR cross-currency swap. The swap counterparty to IFC in this transaction is Mitsubishi Finance (Hong Kong) Ltd., fully guaranteed by Mitsubishi Bank, Ltd. The arranger and lead manager of the issue is Mitsubishi Finance (Hong Kong) Ltd. Joint-Lead managers include Oakreed Financial Services Ltd. and Wardley Ltd. Five financial institutions serve as co-lead managers including ANZ McCaughan Securities (Asia) Ltd., Chemical Securities Asia Ltd., China Development Finance Co., (H.K.) Ltd., IBJ Asia Ltd., and Societe Generale Asia Ltd. An additional 15 financial institutions complete the syndicate group. This is the sec
ond foray into the Hong Kong capital market for IFC. In July of 1992 the Corporation also launched a successful HK$500 million issue. This week's borrowing, along with other IFC issues undertaken since July 1, 1992, brings IFC's market borrowings to US$716 million for this fiscal year (FY). IFC anticipates a FY 1993 (July 1, 1992-June 30, 1993) borrowing program of up to US$1 billion. IFC is a member of the World Bank Group and is the largest source of financing for private sector companies in developing countries. Its long-term debt is rated Triple A by both Standard & Poors and Moody's Investors Services. (30)
