Edition: English | Español Français العربية Pусский | 中文简体 中文繁体 Монгол
Homepage > Biz

Tencent to issue $10b global medium-term notes

Editor: Zhang Jianfeng 丨China Daily

01-12-2018 10:00 BJT

Tech giant Tencent Holdings will issue $10b medium-term notes to global professional investors, according to two notices it filed with the Stock Exchange of Hong Kong on Tuesday.

The notes will be issued in series with different issue dates and terms and may be denominated in any currency, according to the second notice. The company said it intends to use the net proceeds from each issue of the notes for general corporate purposes.

Tencent added that it intends to seek a listing of the notes on the stock exchange. Deutsche Bank, Bank of America Merrill Lynch and HSBC are the joint global coordinators in respect of the proposed notes issue.

Moody's Investors Service has assigned an A2 senior unsecured rating to Tencent 's proposed medium-term notes, according to a document the rating agency published on Wednesday.

The rating outlook is positive, Moody's added.

"The proposed notes will further enhance Tencent's already strong liquidity position, and enable it to sustain steady growth in revenue and cash flow," said Lina Choi, Moody's vice-president.

"Moreover, Tencent has demonstrated prudent financial management and maintained a stable credit profile while achieving fast growth. The proposed notes will have a limited impact on Tencent's low debt leverage, which is strong for its A2 rating," added Choi.

Moody's said it expected only a limited impact from the note issuance on Tencent's strong net cash position and low debt leverage, as the company's cash flow generation ability has remained strong.

Tencent's stocks closed at HK$430.6 in the morning trading session, down by 2.23 percent and its market capitalization stood above HK$4 trillion, reaching HK$4.09 trillion.

Follow us on

  • Please scan the QR Code to follow us on Instagram

  • Please scan the QR Code to follow us on Wechat