Tender for re-opening of 15-year Government Bonds under Institutional Bond Issuance Programme to be held on June 28

The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announced today (June 16) that a tender of 15-year Government Bonds (Bonds) through the re-opening of existing 15-year Government Bond issue 15GB3801 under the Institutional Bond Issuance Programme will be held on June 28, 2023 (Wednesday), for settlement on June 29, 2023 (Thursday).

     An additional amount of HK$0.5 billion of the outstanding 15-year Bonds (issue no. 15GB3801) will be on offer. The Bonds will mature on January 12, 2038, and will carry interest at the rate of 3.74 per cent per annum payable semi-annually in arrears. The Indicative Pricings of the Bonds on June 16, 2023, are 99.25 with an annualised yield of 3.848 per cent.

     Under the Institutional Bond Issuance Programme, tender is open only to Recognized Dealers which are appointed as Primary Dealers. Anyone wishing to apply for the Bonds on offer can do so through any of the Primary Dealers on the current published list, which can be obtained from the Hong Kong Government Bonds website at www.hkgb.gov.hk. Each tender must be for an amount of HK$50,000 or integral multiples thereof.

     Tender results will be published on the HKMA's website, the Hong Kong Government Bonds website, the Refinitiv screen (HKGBINDEX), and Bloomberg (GBHK <GO>) not later than 3pm on the tender day.

HKSAR Government Institutional Bond Issuance Programme Tender Information
—————————————————————————————–
     Tender information of re-opening of 15-year Government Bonds under the Institutional Bond Issuance Programme:
 

Issue Number : 15GB3801 (Re-open) 
Stock Code : 4258 (HKGB 3.74 3801) 
Tender Date and Time : June 28, 2023 (Wednesday)
9.30am to 10.30am 
Issue and Settlement Date for Tender Amount  : June 29, 2023 (Thursday)
Amount on Offer  : HK$0.5 billion
Maturity : 15 years
Remaining Maturity : Approximately 14.55 years 
Maturity Date : January 12, 2038 
Interest Rate : 3.74 per cent p.a. payable semi-annually in arrears 
Interest Payment Dates  : July 12, 2023
January 12, 2024
July 12, 2024
January 13, 2025
July 14, 2025
January 12, 2026
July 13, 2026
January 12, 2027
July 12, 2027
January 12, 2028
July 12, 2028
January 12, 2029
July 12, 2029
January 14, 2030
July 12, 2030
January 13, 2031
July 14, 2031
January 12, 2032
July 12, 2032
January 12, 2033
July 12, 2033
January 12, 2034
July 12, 2034
January 12, 2035
July 12, 2035
January 14, 2036
July 14, 2036
January 12, 2037
July 13, 2037
January 12, 2038
Method of Tender : Competitive tender 
Tender Amount : Each competitive tender must be for an amount of HK$50,000 or integral multiples thereof. Any tender applications for the Bonds must be submitted through a Primary Dealer on the current published list.
 
The accrued interest to be paid by successful bidders on the issue date (June 29, 2023) for the tender amount is HK$860.71 per minimum denomination of HK$50,000.
 
(The accrued interest to be paid for tender amount exceeding HK$50,000 may not be exactly equal to the figures calculated from the accrued interest per minimum denomination of HK$50,000 due to rounding). 
Other Details  : Please see Information Memorandum available on the Hong Kong Government Bonds website at www.hkgb.gov.hk or approach Primary Dealers. 
Expected commencement date of dealing on
the Stock Exchange
of Hong Kong Limited
: The tender amount is fully fungible with the existing 15GB3801 (Stock code: 4258) listed on the Stock Exchange of Hong Kong.

 
     Price/Yield Table of the Government Bonds at tender (for reference only*):
 

Yield-to-Maturity Price Yield-to-Maturity Price
2.848 110.81 3.848 99.20
2.898 110.19 3.898 98.66
2.948 109.58 3.948 98.13
2.998 108.96 3.998 97.60
3.048 108.36 4.048 97.07
3.098 107.76 4.098 96.54
3.148 107.16 4.148 96.02
3.198 106.56 4.198 95.51
3.248 105.97 4.248 94.99
3.298 105.39 4.298 94.48
3.348 104.81 4.348 93.97
3.398 104.23 4.398 93.47
3.448 103.66 4.448 92.97
3.498 103.09 4.498 92.47
3.548 102.52 4.548 91.98
3.598 101.96 4.598 91.49
3.648 101.40 4.648 91.00
3.698 100.84 4.698 90.52
3.748 100.29 4.748 90.04
3.798 99.75 4.798 89.56
3.848 99.20 4.848 89.09

 
* Disclaimer: The information provided here is for reference only. Although extreme care has been taken to ensure that the information provided is accurate and up-to-date, the HKMA does not warrant that all, or any part of, the information provided is accurate in all respects. You are encouraged to conduct your own enquiries to verify any particular piece of information provided on it. The HKMA shall not be liable for any loss or damage suffered as a result of any use or reliance on any of the information provided here.