Oct. 17, 2012 (China Knowledge) - China United Network Communications Corporation Limited, also known as China Unicom<600050
>, the country’s second largest telecommunications operator, has announced it plans to issue RMB 15 billion in short-term bills with a maturity of 365 days in the interbank market on Oct 23.
The company said in a statement that the bills will be issued at face value, and the coupon rate determined in the process of book-building.
Both value and payment due date is set on Oct 24, and the to-be-issued bills tradable Oct 25.
RMB 7.5 billion of the proceeds from the issue will be used to repay bank loans, while the remaining RMB 7.5 billion to replenish working capital, said the issuer.
China Chengxin International Credit Rating Co Ltd has rated the issuer and bills AAA and A-1, respectively.
China Everbright Bank Co Ltd<601818> has been hired as lead underwriter and bookrunner. Industrial and Commercial Bank of China<601398
> will be the joint lead underwriter for the offering.
This will be the issuer's second short term bills this year.