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Clifford Capital markets 10-year US dollar bond with Singapore government guarantee at T+55bp-60bp

Kitco News

By Carol Chan

HONG KONG, Feb 28 (IFR) - Clifford Capital is marketing 10-year US dollar senior unsecured bonds at an initial price guidance range of Treasuries plus 55-60 basis points.

The size of the Reg S issue, to carry an unconditional and irrevocable guarantee from the Government of Singapore, is expected to be $300 million, according to the leads.

Clifford Capital is the only issuer from Singapore to enjoy this explicit guarantee. The notes have an expected S&P rating of AAA.

The offering attracted significant anchor orders after yesterday's mandate announcement, say the leads.

Proceeds will be used for general corporate purposes.

Citigroup, DBS Bank, HSBC and Standard Chartered Bank are joint bookrunners and joint lead managers on the issue, which is expected to price today.

Temasek Holdings established Clifford Capital in 2012 as an infrastructure fund and holds a 40.5 percent stake. Prudential, DBS, Manulife, SMBC and Standard Chartered also have stakes.

In 2013, it sold $300 million of maiden bonds, priced at Treasuries plus 53bp, the tightest spread for any US dollar trade out of Asia in the preceding five years. That note is due this November.

Singapore does not issue sovereign bonds in US dollars.


(Reporting by Carol Chan Editing by Daniel Stanton)

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