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Source: Hong Kong Monetary Authority

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 5-year Government Bonds (Bonds) through the re-opening of existing 10-year Government Bond issue 10GB2601 under the Institutional Bond Issuance Programme will be held on Wednesday, 18 November 2020, for settlement on Thursday, 19 November 2020.

An additional amount of HK$2.5 billion of the outstanding 10-year Bonds (issue no. 10GB2601) will be on offer. The Bonds will mature on 21 January 2026 and will carry interest at the rate of 1.68% per annum payable semi-annually in arrears. The Indicative Pricings of the Bonds on 9 November 2020 is 107.59 with an annualised yield of 0.213%.

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 https://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 ) not later than 3:00 pm on the tender day.

Hong Kong Monetary Authority
9 November 2020


 

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

:

10GB2601 (Re-open)

Stock code

:

4230 (HKGB 1.68 2601)

Tender Date and Time

:

Wednesday, 18 November 2020

9:30 am to 10:30 am

Issue and Settlement Date for tender amount

:

Thursday, 19 November 2020

Amount on Offer

:

HK$2.5 billion

Maturity              

:

10 years

Remaining Maturity 

:

Approximately 5.18 years

Maturity Date

:

21 January 2026

Interest Rate    

:

1.68% p.a. payable semi-annually in arrears

Interest Payment Dates 

:

21 January 2021

21 July 2021

21 January 2022

21 July 2022

25 January 2023

21 July 2023

22 January 2024

22 July 2024

21 January 2025

21 July 2025

21 January 2026

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 (19 November 2020) for the tender amount is HK$278.47 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 https://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 10GB2601 (Stock code: 4230) 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

-0.787

113.05

0.213

107.54

-0.737

112.77

0.263

107.27

-0.687

112.48

0.313

107.00

-0.637

112.20

0.363

106.74

-0.587

111.92

0.413

106.47

-0.537

111.64

0.463

106.21

-0.487

111.36

0.513

105.95

-0.437

111.08

0.563

105.69

-0.387

110.80

0.613

105.42

-0.337

110.53

0.663

105.16

-0.287

110.25

0.713

104.90

-0.237

109.98

0.763

104.65

-0.187

109.70

0.813

104.39

-0.137

109.43

0.863

104.13

-0.087

109.16

0.913

103.87

-0.037

108.88

0.963

103.62

0.013

108.61

1.013

103.36

0.063

108.34

1.063

103.11

0.113

108.07

1.113

102.86

0.163

107.80

1.163

102.60

0.213

107.54

1.213

102.35

* 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
9 November 2020

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