Recently, the “Hangzhou Binjiang Real Estate Group Co., Ltd. 2025 Second Phase Medium-Term Notes,” underwritten by China's Industrial Bank (CIB), was successfully issued. With a total issuance amount of RMB 600 million, a maturity of two years, and a coupon rate of 3.70%, the bond marks the first pilot project in China for a private enterprise to adopt the innovative “two-phase bookbuilding” issuance mechanism.
The “two-phase bookbuilding” issuance mechanism is an innovative attempt in the interbank bond market. Drawing on the experience of mature international bond markets, this mechanism simplifies the price guidance process, enabling precise pricing while improving issuance efficiency.
“By dividing the bookbuilding process into two phases, namely indications of interest and bid submissions, this innovative issuance method helps narrow the bookbuilding range, achieve precise pricing, and further enhance the market-based pricing level of domestic bonds,” said a relevant official from CIB's Investment Banking Department.
In recent years, CIB has continuously enhanced its “Investment Banking” brand by actively participating in bond market development and supporting the high-quality growth of private enterprises. The bank has fully capitalized on the bond market’s ability to reduce financing costs for the real economy and expand funding channels.