MTR Corporation (0066) said it successfully priced in total US$3 billion (HK$23.4 billion) of its inaugural subordinated perpetual securities, the largest ever US dollar corporate subordinated perpetual securities issuance from Asia Ex-Japan.
The dual‑tranche deal comprises a US$1.5 billion non-call 5.5-year note at 4.875 percent and a US$1.5 billion non-call 10.5-year note at 5.625 percent.
Rated “A” by S&P and “A2” by Moody’s, the issuance drew a combined order book of US$16 billion, or 5.3 times the issue size.
MTR's finance director Michael Fitzgerald said: "The successful issuance of these securities underscores the strategic importance of MTR in the infrastructure development of Hong Kong, and the market confidence toward it."
He said the deal marks the first step in incorporating subordinated perpetual capital into MTR’s long-term funding mix, a move that will enhance credit metrics and provide greater financial flexibility to support major rail expansion and asset upgrades.
STAFF REPORTER
