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SINGAPORE, March 19, 2026 /PRNewswire/ — UOB successfully valued a three-year RMB 5.0 billion bond at 1.83 percent.
UOB was the first Singaporean issuer and the only Singaporean bank in the Panda bond market. This is the Bank’s third Panda bond since its debut in 2019 and the Group’s sixth China interbank bond issuance, including UOB China issuances, demonstrating the Group’s long-standing commitment to China’s capital markets. Our 2024 Panda Bond offering was the first time a bank listed a Panda bond on the Singapore Exchange (SGX). Similar to 2024, UOB will also apply for this bond to be listed on SGX subject to regulatory approval.
This offering attracted strong demand with a subscription rate of 1.6 times from both domestic and offshore investors – 22 percent of offshore investor participation, with domestic investors taking 78 percent.
This is the largest joint issue size over a three-year term among foreign bank issuers, equal to that achieved by UOB in 2024. The achieved size is 1-3 billion larger than the 3-year equivalent tranches of other peer foreign banks earlier this year.
The final coupon of 1.83 percent represents a spread of 22 basis points from the China Development Bank’s three-year benchmark bond yield. The coupon and spread achieved are among the lowest achieved to date by a Panda bond issuer from an international foreign bank (excluding Hong Kong).
With dollar markets largely closed due to geopolitical volatility, the domestic RMB market remained stable.ed stable, with onshore emissions remain normal and yields remain compressed.
Ms Koh Chin Chin, Head of Group Treasury, Research and Client Advocacy at UOB, said: “We are pleased to finalize our CNY5 billion Panda bond issuance with strong support from investors. As a regular issuer, we appreciate the depth and resilience of the onshore RMB market, which has remained stable despite a difficult geopolitical context.
Transaction Highlights
- The trade was traded in the range of 1.70 to 2.10 percent and saw strong momentum with order books reaching almost 6 billion in 3 hours and marginal rate decreasing from 2.10 percent to 1.84 percent at 5 p.m. The coverage rate was 1.1x at the final coupon of 1.83%.
- Final order books reached RMB 8.2 billion with a coverage ratio of 1.6x
Distribution
Geography:
- Domestic investors in China – 78%
- Offshore investors – 22%
Type of investor:
- Banks – 95%
- Securities houses – 5%
Bank of China is the lead underwriter and lead manager, while Industrial and Commercial Bank of China Limited is the lead underwriter and joint bookrunner, and Agricultural Bank of China Limited, China Construction Bank Corporation, China Galaxy Securities Co., Ltd., China Securities Co., Ltd., CITIC Securities Company Limited, Deutsche Bank (China) Co., Ltd., The Export-Import Bank of China, Fubon Bank (China) Co., Ltd, Industrial Bank Co., Ltd, MUFG Bank (China), Ltd., Postal Savings. Bank of China Co., Ltd., Standard Chartered Bank (China) Limited and Sumitomo Mitsui Banking Corporation (China) Limited are joint lead managers and joint bookrunners.
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SOURCE UOB
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Source: PR Newswire
