Tender for the re-opening of 10-year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 16 October 2019

Press Releases

08 Oct 2019

Tender for the re-opening of 10-year Government Bonds under the Institutional Bond Issuance Programme to be held on Wednesday, 16 October 2019

The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announces today (Tuesday) that a tender of 3-year Government Bonds (Bonds) through the re-opening of existing 10-year Government Bond issue 10GB2301 under the Institutional Bond Issuance Programme will be held on Wednesday, 16 October 2019, for settlement on Thursday, 17 October 2019.

An additional amount of HK$4.0 billion of the outstanding 10-year Bonds (issue no. 10GB2301) will be on offer. The Bonds will mature on 17 January 2023 and will carry interest at the rate of 1.10% per annum payable semi-annually in arrears. The Bonds Fixings on 8 October 2019 is 98.88 with an annualised yield of 1.457%.

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
8 October 2019


 

HKSAR GOVERNMENT
INSTITUTIONAL BOND ISSUANCE PROGRAMME
TENDER INFORMATION
_________________________________________________________________

Tender information of re-opening of 10-year Government Bonds under the Institutional Bond Issuance Programme:-

Issue Number

:

10GB2301 (Re-open)

Stock code

:

4215 (HKGB 1.10 2301)

Tender Date and Time

:

Wednesday, 16 October 2019

9:30 am to 10:30 am

Issue and Settlement Date for tender amount

:

Thursday, 17 October 2019

Amount on Offer

:

HK$4.0 billion

Maturity              

:

10 years

Remaining Maturity 

:

Approximately 3.25 years

Maturity Date

:

17 January 2023

Interest Rate    

:

1.10% p.a. payable semi-annually in arrears

Interest Payment Dates 

:

17 January 2020

17 July 2020

18 January 2021

19 July 2021

17 January 2022

18 July 2022

17 January 2023

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 (17 October 2019) for the tender amount is HK$138.63 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 10GB2301 (Stock code: 4215) 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

0.457

102.07

1.457

98.89

0.507

101.91

1.507

98.73

0.557

101.75

1.557

98.58

0.607

101.59

1.607

98.42

0.657

101.42

1.657

98.27

0.707

101.26

1.707

98.11

0.757

101.10

1.757

97.96

0.807

100.94

1.807

97.80

0.857

100.78

1.857

97.65

0.907

100.62

1.907

97.50

0.957

100.46

1.957

97.34

1.007

100.30

2.007

97.19

1.057

100.15

2.057

97.04

1.107

99.99

2.107

96.89

1.157

99.83

2.157

96.74

1.207

99.67

2.207

96.58

1.257

99.51

2.257

96.43

1.307

99.36

2.307

96.28

1.357

99.20

2.357

96.13

1.407

99.04

2.407

95.98

1.457

98.89

2.457

95.83

 

* 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 October 2019

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Last revision date : 08 October 2019