As of the end of 2019, Lenovo Holdings ’net debt-to-equity ratio was 82.3%.
On May 28, Lenovo Holdings (03396.HK) issued an announcement that the company will issue to qualified investors from June 1 to June 3, 2020 The total size of corporate bonds in 2020 (the first phase) will not exceed 3 billion yuan (RMB, the same below), of which the basic issuance scale is 1.5 billion yuan, and the over-allotment plan is not to exceed 1.5 billion yuan. The fundraising is intended to repay interest-bearing debt.
Lenovo Holdings said that the bond has a fixed interest rate of 3 years, and the coupon rate will be negotiated and determined by the company and the lead underwriter according to the results of the online inquiry bookkeeping at the time of issuance. The lead underwriters of this bond are CITIC Securities, China Everbright Securities and CICC. The credit rating agency has a joint rating, and it assigns a “AAA” rating to both the company and the bonds.
The corporate bonds issued by Lenovo Holdings originated in 2017.
On June 16, 2017, the board of directors of Lenovo Holdings was approved by shareholders to issue debt financing instruments with a total amount not exceeding 28 billion yuan.
On September 28, 2018, Lenovo Holdings issued an announcement that the company intends to apply for the issuance of corporate bonds with a total face value of no more than 18 billion yuan, and then obtains a license from the China Securities Regulatory Commission for a period of two years.
Lenovo Holdings said that the company ’s bonds are planned to be issued in installments and listed on the Shanghai Stock Exchange. At present, the company has issued a total of 8.1 billion yuan of corporate bonds.
This means that in addition to the 2020 corporate bonds (first period) issued this time, Lenovo Holdings can also issue at least 6.9 billion yuan of corporate bonds.
Lenovo Holdings ’previous financial report for 2019 shows that as of December 31, 2019, outstanding bank loans, other loans and corporate bonds totaled 137.905 billion yuan, of which The spot portion was 52.201 billion yuan.
As of December 31, 2019, Lenovo ’s current ratio is 0.7, net The debt-equity ratio is 82.3%.
In addition to financing, Lenovo Holdings, which focuses on strategic investment and financial investment, ushered in two positive news in May.
On May 12th, according to Bloomberg, the start-up company “Nuohui Health”, which mainly provides home early screening products such as colon cancer and gastric cancer, plans to go to Hong Kong for an IPO in the third quarter of this year. Junlian Capital, a private equity investment arm of Lenovo Holdings, once participated in A-C round of financing for Nuohui Health.
On May 22, the clinical stage new drug developer Pioneer Pharmaceutical-B (09939.HK) was officially listed on the Hong Kong Stock Exchange and became the 17th unprofitable pharmaceutical stock listed in the Hong Kong stock market. According to the prospectus, as of the last practicable date, Lenovo Holdings held 2.8 million shares in Pioneer Pharmaceutical, accounting for 10.11%.
Lenovo Holdings said in its 2019 financial report that the deep investment of the financial investment platform in subdivision industries such as healthcare will make it more likely to expand strategic investment into related fields.
As of press time, Lenovo Holdings reported HK $ 9.07, down 1.31%.