Tender for the re-opening of 5-year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 9 July 2014

Press Releases

27 Jun 2014

Tender for the re-opening of 5-year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 9 July 2014

The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announces today (Friday) that a tender of 5-year Government Bonds (Bonds) through the re-opening of existing 5-year Government Bond issue 05GB1902 under the Institutional Bond Issuance Programme will be held on Wednesday, 9 July 2014, for settlement on Thursday, 10 July 2014.

An additional amount of HK$2 billion of the outstanding 5-year Bonds (issue no. 05GB1902) will be on offer.  The Bonds will mature on 20 February 2019 and will carry interest at the rate of 1.47% per annum payable semi-annually in arrears. The Bonds Fixings on 27 June 2014 is 100.30 with an annualised yield of 1.410%. 

Under the Institutional Bond Issuance Programme, tender is open only to Recognized Dealers which are appointed as Primary Dealers.  Anyone wishing to apply for the Bonds on offer can do so through any of the Primary Dealers on the current published list, which can be obtained from the Government Bond Programme’s website at http://www.hkgb.gov.hk.  Each tender must be for an amount of HK$50,000 or integral multiples thereof.

Tender results will be published on the HKMA’s website, the Government Bond Programme’s website, the Reuters screen (HKGBINDEX), and Bloomberg (GBHK <GO>) not later than 3:00 pm on the tender day.

Hong Kong Monetary Authority
27 June 2014

 

HKSAR GOVERNMENT
INSTITUTIONAL BOND ISSUANCE PROGRAMME
TENDER INFORMATION
                        _______________________________________________________________

Tender information of re-opening of 5-year Government Bonds under the Institutional Bond Issuance Programme:

Issue Number

:

05GB1902 (Re-open)

Stock code

:

4219 (HKGB 1.47 1902)

Tender Date and Time

:

Wednesday, 9 July 2014
9:30 am to 10:30 am

Issue and Settlement Date for tender amount

:

Thursday, 10 July 2014

Amount on Offer

:

HK$2 billion

Maturity              

:

5 years

Remaining Maturity

:

Approximately 4.62 years

Maturity Date

:

20 February 2019

Interest Rate    

:

1.47% p.a. payable semi-annually in arrears

Interest Payment Dates 

:

20 August 2014
23 February 2015
20 August 2015
22 February 2016
22 August 2016
20 February 2017
21 August 2017
20 February 2018
20 August 2018
20 February 2019

Method of Tender

:

Competitive tender

Tender Amount

:

Each competitive tender must be for an amount of HK$50,000 or integral multiples thereof.  Any tender applications for the Bonds must be submitted through a Primary Dealer on the current published list.

The accrued interest to be paid by successful bidders on the issue date (10 July 2014) for the tender amount is HK$281.92 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).

 

Other details 

:

Please see Information Memorandum available on the Government Bond Programme’s website at http://www.hkgb.gov.hk or approach Primary Dealers.

Expected commencement date of dealing on
the Stock Exchange
of Hong Kong Limited

:

The tender amount is fully fungible with the existing 05GB1902 (Stock code: 4219) listed on the Stock Exchange of Hong Kong.

 

Price/Yield Table of the re-opening Government Bonds at tender for reference* only:-

Yield-to-Maturity

Price

Yield-to-Maturity

Price

0.410

104.84

1.410

100.29

0.460

104.61

1.460

100.07

0.510

104.38

1.510

99.85

0.560

104.14

1.560

99.63

0.610

103.91

1.610

99.41

0.660

103.68

1.660

99.19

0.710

103.45

1.710

98.97

0.760

103.22

1.760

98.75

0.810

102.99

1.810

98.54

0.860

102.76

1.860

98.32

0.910

102.54

1.910

98.10

0.960

102.31

1.960

97.89

1.010

102.08

2.010

97.67

1.060

101.85

2.060

97.46

1.110

101.63

2.110

97.25

1.160

101.40

2.160

97.03

1.210

101.18

2.210

96.82

1.260

100.96

2.260

96.61

1.310

100.73

2.310

96.40

1.360

100.51

2.360

96.19

1.410

100.29

2.410

95.98

* 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
27 June 2014

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Last revision date : 27 June 2014