Debut bond issue for PRC agricultural products producer

Hong Kong-listed China Agri-Industries Holdings (China Agri) has made an international offering of convertible bonds and share placement. The issuer is a producer and marketer of processed agricultural products in China, and is involved in biofuel and biochemical production, oilseed processing, rice trading and processing, brewing materials production, and wheat processing.

China Agri issued HK$3.9 billion (US$499 million) 1 per cent guaranteed convertible bonds due 2015, and a placing of 178 million shares at a price of HK$8.75 per share. The convertible bonds are listed on the Mainboard of the Singapore Exchange and were issued by Glory River Holdings, a wholly-owned subsidiary of China Agri. JP Morgan and Morgan Stanley were the placing agents, joint bookrunners and joint lead managers.

A three-office Clifford Chance team represented China Agri. This included Hong Kong and Beijing practitioners Connie Heng, Boon-Teck Yeo, Amy Lo and Peter Cheng, and Singapore partner Joan Janssen. PRC counsel to the joint lead managers was Commerce & Finance Law Offices, and Linklaters provided English law advice to the joint bookrunners, joint lead managers and trustee.