1.2 Billion RMB SIP Enterprise Bond Listed
On July 22, the enterprise bond of SIP Land Management Company for the year 2005 was formally listed to the public at Shanghai Securities Exchange. At 9:15 that morning, Wang Jinhua, Deputy Secretary of CPC Suzhou Municipal Committee and Secretary of SIP Party Working Committee, beat the opening gong on behalf of the issuing company. This is the second issue of bond from SIP Land Management Company, the previous one being the successful issue of "03 Su Jian Yuan" enterprise bond in 2003. A short span of 50 days from issue to public listing created a new record in securities transactions.
A state-owned enterprise directly under Sipac, SIP Land Management Company, with a registered capital of 10 billion RMB, is chiefly engaged in the development and construction of infrastructure and public utilities in the Phase II and III of SIP, including the "9 throughs and leveling project" (i.e., road, power, water, gas, heat, drainage, sewage, telecommunications, and CATV on leveled ground), and the increase of state assets through optimum allocation and efficient operation. The current bond listed is called "05 Su Yuan Jian" for short, in the code "120502", issued from May 19 to June 1 with a total amount of 1.2 billion RMB for a period of 10 years. The fixed annual face interest rate is 5.06% in 3A credibility grade, and the interest is paid once a year, with the last installment repaid with the bond. The National Development Bank, as the main distributor, is the guarantor with inextricable aligned liability.
July 23, 2005