Chinese technology giant Tencent Holdings plans to raise 9 billion yuan (US$1.27 billion) through a yuan-denominated dim sum bond – its first bond sale in four years – in a move brokers say is aimed at boosting its artificial intelligence ambitions.
The dim sum bond, offered in three tranches with 5-, 10-, and 30-year tenures, will be launched on September 23, according to a stock exchange filing on Wednesday. Dim sum bonds are bonds that are denominated in yuan and issued outside the mainland
The offering aims to raise 2 billion yuan by issuing five-year notes with a 2.1 per cent coupon, and will tap 6 billion yuan by selling 10-year notes carrying a 2.5 per cent coupon. The firm will also raise a further 1 billion yuan with 30-year notes, paying a 3.1 per cent coupon.
Tencent, which runs the world’s largest gaming business and China’s social media platform WeChat, said the proceeds would be used for general corporate needs….
