Tender for the reopening of 5-Year Exchange Fund Notes to be held on Friday, 17 September 2010
The Hong Kong Monetary Authority (HKMA) announces that the tender of Exchange Fund Notes with a maturity of 36 months through the reopening of existing 5-year Exchange Fund Notes (issue no. 05Y1309) will be held on Friday, 17 September 2010 for settlement on Monday, 20 September 2010.
An additional amount of HK$1,200 million of the outstanding 5-year Notes (issue no. 05Y1309) will be on offer, of which HK$5 million will be made available for offer to members of the public who wish to submit non-competitive tender bids through Hong Kong Securities Clearing Company Limited (HKSCC). If the Notes reserved for non-competitive tender are under-subscribed, the non-subscribed amount will be added to the portion of notes for competitive tender (initially set at HK$1,195 million). The Notes will mature on 25 September 2013 and carry interest at the rate of 2.54% per annum payable semi-annually in arrears. The Notes Fixings on 7 September 2010 was 105.80 with an annualized yield of 0.62%.
Members of the public who wish to submit non-competitive tender applications for Notes that are open to HKSCC may do so through Stock Exchange Participants/Brokers, or for those who hold Investor Accounts of the Central Clearing and Settlement System (CCASS) at HKSCC, directly through HKSCC, for submission to the HKMA for processing. Competitive tender applications for the Notes must be submitted through any of the Eligible Market Makers on the current published list, which can be obtained from the HKMA at 55/F, Two International Finance Centre, 8 Finance Street, Central, Hong Kong (telephone 2878 1465), or from the HKMA's website at http://www.hkma.gov.hk. Each tender must be for an amount of HK$50,000 or integral multiples thereof for both competitive and non-competitive tender.
The tender results will be published on the HKMA's website, the Reuters screen (HKMAOOE), and Bloomberg. Applicants who submit non-competitive tender bids through HKSCC may also obtain the tender results from Stock Exchange Participants/Brokers, or for applicants holding Investor Accounts at HKSCC's CCASS from the CCASS terminal for CCASS Broker/Custodian/Participants and CCASS Phone System.
Hong Kong Monetary Authority
8 September 2010
HONG KONG MONETARY AUTHORITY
EXCHANGE FUND NOTE PROGRAMME
Tender information of the reopening of 5-Year Exchange Fund Notes :- Issue Number : 05Y1309 Stock code : 4182 (EFN 2.54 1309) Tender Date : Friday, 17 September 2010 and Time 9:30 a.m. to 10:30 a.m. Issue and Settlement : Monday, 20 September 2010 Date for tender amount Amount on Offer : HK$1,200 million (up to HK$5 million for non- competitive tender) Commencement of/ : Please refer to requirements Deadline for submission as set down by HKSCC of non-competitive tender bids by retail investor through HKSCC Maturity : 36 months Maturity Date : 25 September 2013 Interest Rate : 2.54% per annum payable semi-annually in arrears Interest Payment Dates : 27 Sept 2010 25 Mar 2011 26 Sept 2011 26 Mar 2012 25 Sept 2012 25 Mar 2013 25 Sept 2013 Tender Amount : Each tender must be for an amount of HK$50,000 or integral multiples thereof for both competitive and non- competitive tender. Members of the public who wish to apply for the Notes through non-competitive tenders that are open to HKSCC may do so through Stock Exchange Participants/Brokers, or for those holding Investor Accounts at HKSCC's CCASS, directly through HKSCC. Members of the public who wish to apply for the Notes through competitive tender may do so through any of the Eligible Market Makers on the current published list. The accrued interest to be paid by successful bidders on the issue date (20 Sept 2010) for the tender amount is HK$622.82 per minimum denomination of HK$50,000. (The accrued interest to be paid for tender amount exceeding HK$50,000 may not be exactly equal to the figures calculated from the accrued interest per minimum denomination of HK$50,000, due to rounding error). Other details : Please see Information Memorandum published or approach eligible Market Makers, HKSCC or brokers who are Exchange Participants of the Stock Exchange of Hong Kong Expected commencement : The tender amount is fully date of dealing on fungible with the existing the Stock Exchange 05Y1309 listed on the Stock of Hong Kong Exchange of Hong Kong Hong Kong Monetary Authority 8 September 2010
Price/Yield Table of the reopening of EFN at tender for reference* only :- Yield-to-Maturity Price Yield-to-Maturity Price -0.38 108.80 0.62 105.72 -0.33 108.65 0.67 105.57 -0.28 108.49 0.72 105.42 -0.23 108.33 0.77 105.26 -0.18 108.18 0.82 105.11 -0.13 108.02 0.87 104.96 -0.08 107.87 0.92 104.81 -0.03 107.71 0.97 104.66 0.02 107.56 1.02 104.51 0.07 107.40 1.07 104.36 0.12 107.25 1.12 104.21 0.17 107.10 1.17 104.06 0.22 106.94 1.22 103.91 0.27 106.79 1.27 103.76 0.32 106.63 1.32 103.61 0.37 106.48 1.37 103.46 0.42 106.33 1.42 103.32 0.47 106.18 1.47 103.17 0.52 106.02 1.52 103.02 0.57 105.87 1.57 102.87 0.62 105.72 1.62 102.72 * Disclaimer The information provided here is for reference only. Although extreme care has been taken to ensure that the information provided is accurate and up-to-date, the HKMA does not warrant that all, or any part of, the information provided is accurate in all respects. You are encouraged to conduct your own enquiries to verify any particular piece of information provided on it. The HKMA shall not be liable for any loss or damage suffered as a result of any use or reliance on any of the information provided here. Hong Kong Monetary Authority 8 September 2010