May. 14, 2012 (China Knowledge) - Hongdou Group, the parent company of Jiangsu
Hongdou Industry Co<600400
>, announced it plans to issue RMB 400 million worth of secured medium-term notes with a maturity of three years on the interbank market on May 21.
The company said in a statement that the notes will be issued at face value and coupon rate will be determined in the process of book-building.
Both value date and payment due date is May 23, and the to-be-issued notes tradable on May 24.
China Lianhe Credit Rating Co Ltd has rated the issuer and notes AA and AA+, respectively.
Agricultural Bank of China Ltd or ABC<601288
> has been hired as lead underwriter for the offering.
The company plans to use RMB 250 million of the proceeds replenish its working capital and the remaining RMB 150 million to repay bank loans.