Tender for the re-opening of 15-year Government Bonds under the Institutional Bond Issuance Programmem to be held on September 12

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), announces today (September 4) that a tender of 15-year Government Bonds (Bonds) through the re-opening of existing 15-year Government Bond issue 15GB3203 under the Institutional Bond Issuance Programme will be held on September 12 (Wednesday), for settlement on September 13 (Thursday).
 
     An additional amount of HK$0.6 billion of the outstanding 15-year Bonds (issue no. 15GB3203) will be on offer. The Bonds will mature on March 2, 2032 and will carry interest at the rate of 1.89 per cent per annum payable semi-annually in arrears. The Indicative Pricings of the Bonds on September 4, 2018 is 94.46 with an annualised yield of 2.388 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 Government Bond Programme's 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, Government Bond Programme's website, the Reuters 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 : 15GB3203 (Re-open)
 
Stock code : 4232 (HKGB 1.89 3203)
 
Tender Date and Time : Wednesday, September 12, 2018
9.30am to 10.30am
 
Issue and Settlement Date
 		 : Thursday, September 13, 2018
 
Amount on Offer
 		 : HK$0.6 billion
Maturity              
 		 : Fifteen years
Remaining Maturity : Approximately 13.48 years
 
Maturity Date : March 2, 2032
 
Interest Rate     : 1.89% p.a., payable semi-annually in arrears
 
Interest Payment Dates  : March 4, 2019
September 2, 2019
March 2, 2020
September 2, 2020
March 2, 2021
September 2, 2021
March 2, 2022
September 2, 2022
March 2, 2023
September 4, 2023
March 4, 2024
September 2, 2024
March 3, 2025
September 2, 2025
March 2, 2026
September 2, 2026
March 2, 2027
September 2, 2027
March 2, 2028
September 4, 2028
March 2, 2029
September 3, 2029
March 4, 2030
September 2, 2030
March 3, 2031
September 2, 2031
March 2, 2032
 
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 (September 13, 2018) for the tender amount is HK$25.89 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 Government Bond Programme's 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 15GB3203 (Stock code: 4232) listed on the Stock Exchange of Hong Kong.

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

Yield-to-Maturity Price Yield-to-Maturity Price
1.388 106.21 2.388 94.45
1.438 105.58 2.438 93.90
1.488 104.96 2.488 93.36
1.538 104.34 2.538 92.82
1.588 103.73 2.588 92.28
1.638 103.12 2.638 91.75
1.688 102.51 2.688 91.22
1.738 101.91 2.738 90.70
1.788 101.31 2.788 90.17
1.838 100.72 2.838 89.66
1.888 100.13 2.888 89.14
1.938 99.54 2.938 88.63
1.988 98.96 2.988 88.12
2.038 98.38 3.038 87.62
2.088 97.81 3.088 87.12
2.138 97.24 3.138 86.62
2.188 96.67 3.188 86.13
2.238 96.11 3.238 85.63
2.288 95.55 3.288 85.15
2.338 95.00 3.338 84.66
2.388 94.45 3.388 84.18

 
 
* 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.