China Everbright Water cancels $235.46m notes issue

The move is to control the financing cost of the company.

China Everbright Water has decided to cancel the proposed issuance of the first tranche of medium term notes with a registered principal amount of $235.46m (RMB1.2b) to institutional investors, according to an SGX filing.

The company notes that this move is to control the financing cost of the company as well as due to the “volatile conditions” in China’s bond market.

This follows China Everbright Water’s announcement of registration acceptance issued by the National Association of Financial Market Institutional Investors of the People’s Republic of China (NAFMII) relating to the proposed issuance of medium term notes.

The first tranche of notes have been given a credit rating of “AAA” by the Credit Rating Agency, Shanghai Brilliance Credit Rating & Investors Service based on its credit rating report.

The company assured that it will continue to monitor market conditions and update the shareholders in due course.