Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

LDK Solar Said to Sell 500 Million Yuan Three-Year Bonds

Don't Miss Out —
Follow us on:

Dec. 7 (Bloomberg) -- LDK Solar Co., the Chinese solar-panel maker, sold 500 million yuan ($79 million) of three-year domestic bonds at 6.8 percent, six times less than the yield of its international bonds, according to a person familiar with the matter.

Xinyu, south-central China-based LDK’s notes were priced at 24 basis points above the official bank lending rate. Similar-rated notes yield 6.23 percent, according to Chinabond, the nation’s bond clearing house. LDK’s three-year international yuan bonds that are settled in U.S. dollars yield 49.5 percent, Bloomberg data show.

The U.S. Commerce Department is investigating accusations that China’s solar-equipment industry gets unfair state aid such as cash grants, raw-materials discounts and preferential loans, which could lead to import tariffs on their products of 100 percent.

The Chinese government has set the growth of the nation’s alternative-energy companies as a national development goal and said it will boost investment in the industry, giving domestic banks that lend to the companies a measure of insurance.

LDK has registered to sell 3 billion yuan of medium-term notes, bonds sold on the country’s interbank market and regulated by the central bank, according to the prospectus for today’s sale. The bond and the company were rated AA by Shanghai Brilliance Credit Rating & Investors Service Co.

China’s banks, most of which are state-owned, held 62 percent of medium-term notes as of the end of October according to Chinabond.

To contact Bloomberg News staff for this story: Henry Sanderson in Beijing at hsanderson@bloomberg.net

To contact the editor responsible for this story: Shelley Smith at ssmith118@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.