According to Zhitong Finance App, Yuandong Hongxin (03360) issued an announcement. On April 9, 2024, the company signed a subscription agreement with the joint lead manager to withdraw according to the plan (the company's US$4 billion medium-term notes and perpetual securities plan), and to sell and issue withdrawal notes with a total face value of US$500 million on April 16, 2024. Withdrawal notes are exempt from registration requirements under the Securities Law. Withdrawal notes are denominated in dollars.
According to Standard & Poor's, withdrawal notes are expected to be rated BBB-. This rating of a bill of withdrawal does not constitute a recommendation to buy, sell, or hold a bill of withdrawal, and Standard & Poor's may revise or withdraw this rating at any time. This rating should be assessed independently of any other rating of the company's other securities or the company's rating.
The company intends to use the net proceeds from the sale as working capital and general corporate purposes. Proceeds can also be transferred to the company's subsidiaries in China through intercompany loans after obtaining all necessary approvals from relevant Chinese government departments.