On 26th January 2021, Yuexiu Real Estate Investment Trust (“Yuexiu REIT” or the “Company”) successfully priced its US$400m 2.650% 5-year senior fixed rate bond offering (the “Transaction”). AMTD acted as a Joint Global Coordinator, Joint Bookrunner and Joint Lead Manager on the Transaction. Yuexiu REIT is rated Baa3 by Moody’s and BBB- by S&P. This is the lowest issue yield and coupon achieved by a Chinese REIT issuer for a USD bond issuance.

The Transaction is the Company’s first USD bond issue since 2019. After receiving strong demand feedback following conducting global investor calls, the Company decided to take advantage of strong momentum to bookbuild and price in the following day. On the back of overwhelming investor demand from high-quality institutional investors, the orderbook reached US$3.2 billion at its peak, representing an oversubscription of 8x, which allowed the Company to tighten final pricing by 50bps from the initial price guidance and ultimately price the Transaction at T5+225bps, represents the lowest issue yield and issue spread ever achieved by the Company. The final pricing of the Transaction is also lower than that achieved by the recent Yuexiu Property 5-year new issue.

Yuexiu REIT was listed on the Hong Kong Stock Exchange in 2005 and is the first listed real estate investment trust only investing in properties in the PRC in the world. Yuexiu REIT focuses on office, retail and other commercial purposes, strives for properties which can bring considerable cash flows and returns and identifies business opportunities for achieving higher revenue growth through the optimization of its operations. The current property portfolio comprises eight high quality properties, namely White Horse Building, Fortune Plaza, City Development Plaza, Victory Plaza, Guangzhou International Finance Center in Guangzhou, Yuexiu Tower in Shanghai, Wuhan Properties in Wuhan and Victory Business Centre in Hangzhou, with a total area of ownership of approximately 973,001 square metres.

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