China Yangtze Power Co Ltd will issue the nationâ€™s first corporate bond tomorrow, the China Securities News (CSN) reported today.
Yangtze Power owns and operates the 160-billion-yuan Three Gorges Dam Project power plant. It will sell four billion yuan (US 533.33 million) 10-year bonds with a fixed interest rate and 400 million yuan targeting personal investors.
Yangtze Power said the money will be used for refunding 3.5 billion yuan in borrowing and the rest will be added to the company's circulating capital.
Currently, only a few of large State-owned enterprises approved by the National Development and Reform Commission can issue such bonds. Last year just 283.1 billion yuan of corporate bonds had been issued.