Singapore - 10 October 2018
Trafigura Group Pte Ltd (“Trafigura”), one of the world’s leading independent commodity trading companies, has announced the successful issuing of a 700 million renminbi-denominated bond issued in China’s mainland debt market (“Panda Bond”). This third issuance is part of a RMB2,350 million Panda Bond programme, which, like the first two tranches issued in April and May 2018, was placed in the Interbank Market under a Private Placement format for a 3-year maturity.
Trafigura has received The People’s Bank of China’s (“PBoC”) approval to repatriate the proceeds of the bond offshore.
Following the successful placement of the first two tranches, the third issuance continued to attract significant interest from the domestic Chinese investment community, including commercial banks, asset managers, insurance companies and securities firms.
“We’ve become a recurring issuer in the Panda Bond market in a short period of time, enabling us to access an additional medium-term liquidity source in the debt capital markets,” said Claire Chen, Trafigura China’s Chief Financial Officer. “We are building our presence in the Panda bond market stone-by-stone. This latest issuance was achieved at our lowest spread in this market and attracted a more diverse investor base. We are firmly establishing a leading position as a foreign issuer in one of the largest capital markets in the world. The success of this Panda Bond programme was possible thanks to the strong support from PBoC and National Association of Financial Market Institutional Investors,” concluded Claire.
Bank of China acted as Lead Bookrunner on this transaction, ICBC as Joint Lead Bookrunner and China Construction Bank as financial advisor.
Founded in 1993, Trafigura is one of the largest physical commodities trading groups in the world. Trafigura sources, stores, transports and delivers a range of raw materials (including oil and refined products and metals and minerals) to clients around the world. The trading business is supported by industrial and financial assets, including 49.6 percent owned global oil products storage and distribution company Puma Energy; global terminals, warehousing and logistics operator Impala Terminals; Trafigura's Mining Group; and Galena Asset Management. The Company is owned by around 600 of its 3,935 employees who work in 62 offices in 35 countries around the world. Trafigura has achieved substantial growth over recent years, growing revenue from USD12 billion in 2003 to USD136.4 billion in 2017. The Group has been connecting its customers to the global economy for more than two decades, growing prosperity by advancing trade. Visit: www.trafigura.com
Trafigura Beheer B.V. press release