Bond Information
| ISIN | XS1164776020 |
|---|---|
| Issuer | Country Garden Holdings Co Ltd |
| Guarantor | Subsidiaries With Restrictions |
| Issue/ Reoffer Price | 100.000 |
| Announcement Date | 26-Feb-2015 |
| Issue Date | 09-Mar-2015 |
| Maturity Date | 09-Mar-2020 |
| Years to Maturity | 3.965 |
| Currency | USD |
| Annual Coupon Frequency | Semi Annually |
| Coupon Type | Fixed |
| Annual Coupon Rate (% p.a.) | 7.500 |
Bond Credit Rating (Moody's / S&P / Fitch) Ba1/ BB/ BB+ Issuer Credit Rating (Moody's / S&P / Fitch) Ba1/ BB/ BB+ Seniority Senior Secured Exchange Listed SGX Modified Duration 3.4 Issue Size USD 900,000,000
| Bond Credit Rating (Moody's / S&P / Fitch) | Ba1/ BB/ BB+ |
|---|---|
| Issuer Credit Rating (Moody's / S&P / Fitch) | Ba1/ BB/ BB+ |
| Seniority | Senior Secured |
| Exchange Listed | SGX |
| Modified Duration | 3.4 |
| Issue Size | USD 900,000,000 |
Announcement: Moody's: Country Garden's rating headroom reduced by weak 2015 results
回覆刪除Global Credit Research - 16 Mar 2016
Hong Kong, March 16, 2016 -- Moody's Investors Service says that Country Garden Holdings Company Limited's weakened credit metrics for 2015 has reduced its rating headroom, but the higher-than-expected leverage will not immediately affect the company's Ba1 corporate family or senior unsecured debt ratings.
The outlook for the firm is stable.
"The rating headroom on Country Garden's Ba1 ratings has been reduced by its higher-than-expected debt leverage in 2015," says Franco Leung, a Moody's Vice President and Senior Analyst.
Country Garden's debt leverage — as measured by revenue to adjusted debt and including perpetual capital securities — deteriorated to around 102% in 2015 versus 126% in 2014 because the company increased its land acquisitions to RMB55.95 billion from RMB16.17 billion in the same periods.
The company increased its debt funding and its adjusted debt increased to around RMB111.5 billion at end-2015 from RMB66.9 billion at end-2014.
Country Garden will likely remain active in land acquisitions in 2016, but Moody's expects that the company will maintain a modest contracted sales growth and healthy operating cash flow, which will in turn reduce its debt growth over the next 12-18 months.
In addition, Moody's expects that the company will continue to achieve growth in revenue, such that its revenue to debt will be brought back to a level ranging from 110%-120% in 2016; a result which would support its Ba1 ratings.
"Country Garden's weak credit metrics in 2015 was also driven by its lower profit margin," adds Leung, who is also the Lead Analyst for Country Garden.
Country Garden's gross profit margin fell to 20.2% in 2015 compared to 26.1% in 2014, mainly due to the recognition of low-margin properties sold in 2014, when China's property market was weak. As a result, the company's EBIT/interest coverage ratio fell moderately to 3.7x in 2015 from 3.9x in 2014.
Moody's expects that Country Garden's gross margin will improve moderately to 21%-24% in 2016, because it will recognize higher-margin properties sold in 2015.
Country Garden's declining gross margins have prompted the company to reduce its borrowing costs. Its weighted average interest rate fell to 6.20% in 2015 from 7.59% in 2014. Moody's expects Country Garden to further manage down its average funding cost to improve its EBIT interest coverage to 3.8x-4.0x in 2016.
Despite Country Garden's significant exposure to third and fourth tier cities, the company achieved a 7.1% year-on-year growth in contracted sales to RMB140.2 billion in 2015; a result which reflects its strong sales execution.
The company continued to demonstrate strong sales momentum into 2016, achieving around RMB23.7 billion in contracted sales in the two months between January and February 2016. The amount represents 14% of its sales target for the year.
Country Garden's liquidity position is strong. Its cash holdings — including restricted cash — increased significantly to RMB47.9 billion at end-2015 from RMB27.2 billion at end June-2015. As a result, its cash to short-term debt strengthened to about 210% from about 141% over the same period.
The principal methodology used in these ratings was Homebuilding And Property Development Industry published in April 2015. Please see the Ratings Methodologies page on www.moodys.com for a copy of this methodology.
Country Garden Holdings Company Limited, founded in 1997 and listed on the Hong Kong Stock Exchange, is a leading Chinese integrated property developer. At end-2015, its land bank totaled a sizeable 109.8 million square meters in attributable gross floor area.
At end-2015, it owned and operated 59 hotels with a total of 13,819 rooms. The hotels were located mainly in Guangdong Province, and support its development of townships.
Bought @ 104.65
回覆刪除Yield to Maturity (YTM) (%) 6.18
Duration(A+B)(in yrs.) 3.3620293709127993
callable on 3/9/2018 or after @100
碧桂園宣佈，於2016年3月18日決定向中國合資格投資者發行本金額為15.84億元人民幣（下同）的第一批購房尾款應收賬款的資產支持證券。資產支持證券的一年期和二年期優先級份額發行利率分別為5.0%和 5.5%，發行額度均為6億；次優級份額的二年期證券發行利率為7.45%，發行額度為2.6億；次級份額發行額度為1.24億，無固定利率，其收益為優先級與次優級分派後的剩餘部分。發行的所得款項將用作為現有債務的再融資及一般營運資本用途。
回覆刪除碧桂園(02007)公布，連同合營公司及聯營公司，該集團今年首4個月共實現合同銷售金額約649.2億元(人民幣‧下同)，期內合同銷售建築面積約830萬方米，較去年同期242.9億元及384萬方米，按年增長167%及116%。
回覆刪除其中，首4個月該公司權益所有人應佔之合同銷售金額及合同銷售建築面積，分別約502.6億元及683萬方米。
此外，「五一」假期期間(4月30日至5月2日)，該集團連同其合營公司和聯營公司，共實現銷售認購金額約160.1億元，銷售認購建築面積約185萬方米。
其中，該公司權益所有人應佔之銷售認購金額及銷售認購建築面積，分別約120.6億元及143萬方米。
😃😃😃碧桂園2020債沒有留意一陣子，居然升了不少！報106.375/106.75，
回覆刪除最近看到碧桂園另一直債4.75%coupon, Sep-2023到期 callable Sep-2020.
回覆刪除不知道天兄有否留意，YTM 5.29%, 只是年期接近7年，好似長了點，想請教一下天兄的意見。
謝謝！
忍藏兄：今時今日BB+債券有5.3%也不錯了，雖然年期是七年。比較之下， 2020年債價錢相對更貴，只有4.3% YTC。你也提醒了我，應該考慮換馬到2023年債券。很多時買賣債券，都是因為換馬。既然有更好的選擇為何不換呢。雖然還有七年才到期，期閒也可以賣出換過另一隻更好的。是嗎？
回覆刪除感謝分享
刪除所言甚是，期間有更好的可以換馬，感謝天兄的分析。
回覆刪除