Tender for the re-opening of 5-Year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 4 September 2013

Press Releases

26 Aug 2013

Tender for the re-opening of 5-Year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 4 September 2013

The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announces today (Monday) that a tender of 2-year Government Bonds (Bonds) through the re-opening of existing 5-year Government Bond issue 05GB1512 under the Institutional Bond Issuance Programme will be held on Wednesday, 4 September 2013, for settlement on Thursday, 5 September 2013.

An additional amount of HK$3.5 billion of the outstanding 5-year Bonds (issue no. 05GB1512) will be on offer as 2-year Bonds.  The Bonds will mature on 2 December 2015 and will carry interest at the rate of 1.43% per annum payable semi-annually in arrears.  The Bonds Fixings on 26 August 2013 is 101.81 with an annualised yield of 0.626%.

Under the Institutional Bond Issuance Programme, tender is open only to Recognized Dealers which are appointed as Primary Dealers.  Any tender applications for the Bonds must be submitted through a Primary Dealer 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
26 August 2013


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

:

05GB1512 (Re-open)

Stock code

:

4206 (HKGB 1.43 1512)

Tender Date and Time

:

Wednesday, 4 September 2013
9:30 am to 10:30 am

Issue and Settlement Date for Tender Amount

:

Thursday, 5 September 2013

Amount on Offer

:

HK$3.5 billion

Maturity              

:

2 years

Remaining Maturity

:

Approximately 2.24  years

Maturity Date

:

2 December 2015

Interest Rate    

:

1.43% p.a. payable semi-annually in arrears

Interest Payment Dates 

:

2 December 2013
2 June 2014
2 December 2014
2 June 2015
2 December 2015

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 (5 September 2013) for the tender amount is HK$184.14 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 05GB1512 (Stock code: 4206) 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

-0.374

104.06

0.626

101.79

-0.324

103.95

0.676

101.68

-0.274

103.83

0.726

101.56

-0.224

103.71

0.776

101.45

-0.174

103.60

0.826

101.34

-0.124

103.49

0.876

101.23

-0.074

103.37

0.926

101.12

-0.024

103.26

0.976

101.01

0.026

103.14

1.026

100.90

0.076

103.03

1.076

100.79

0.126

102.92

1.126

100.68

0.176

102.80

1.176

100.57

0.226

102.69

1.226

100.46

0.276

102.58

1.276

100.35

0.326

102.46

1.326

100.24

0.376

102.35

1.376

100.13

0.426

102.24

1.426

100.02

0.476

102.12

1.476

99.91

0.526

102.01

1.526

99.80

0.576

101.90

1.576

99.69

0.626

101.79

1.626

99.58

 

* 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
26 August 2013

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Last revision date : 26 August 2013