Hutchison Whampoa is once again under the spotlight in financial markets after Hutchison Ports unveiled a GBP325 million (about HK$4.04 billion) long-dated sterling bond - Whampoa's third cash-raising bid in three weeks.
Hutchison Ports, a subsidiary of Hutchison Westports which owns Felixstowe - Britain's largest container port - as well as Harwich and Thamesport, is understood to be raising the cash to refinance existing debt.
Hutchison Whampoa last week successfully launched a 500 million euro (about HK$4.21 billion) bond in capital markets, and it previously raised $5.28 billion through the sale of its 4.2 per cent holding in British cell-phone group Orange.
Yesterday's Hutchison Ports bond, which will not mature until 2015 and was priced to yield 195 basis points over the 8 per cent 2015 gilt on a 6.75 per cent coupon, was the latest cash-raising exercise.
Bankers from HSBC Markets and Goldman Sachs, who were joint lead bookrunners on the issue, said the paper, which was almost entirely pre-placed to British institutional investors and pension funds, was slightly oversubscribed when it came to market yesterday.
'The deal has been a big success on the back of an extensive roadshow and meetings,' a Goldman Sachs official said.
Hutchison has been marketing the deal for the past 10 days in London to ensure the issue is fully subscribed.
