Press release
SFST's transcript on Retail Bond Offering
Wednesday, July 7, 2004
Following is a transcript (English part) of a stand up media session given by the Secretary for Financial Services and the Treasury, Mr Frederick Ma, after the Retail Bond Offering Launch Ceremony today (July 7):
SFST: This is a landmark transaction for Hong Kong in that we are having this inaugural bond offering comprising three parts (five tranches). As you know, the first tranches are the retail part. We also have the US dollar (tranche) for institutional investors and the HK dollar (tranches) for institutional investors in different maturities. The US dollar note is a 10-year note. For the HK dollar (tranches), they are divided in two parts - being five years and 15 years for institutional investors, and for the retail (tranches) - two years and four years. For the retail tranches we will have the widest distribution network with over 1,100 bank branches together with our securities houses as distributors of this offer.
Question: The Government is selling bonds to international investors in the USA, would you consider coming back to the international debt market and how often do you think the HK Government would be selling bonds?
SFST: At the moment our plan is to issue this $20 billion. In Hong Kong, whenever we want to issue bonds we have to obtain the Legislative Council's approval. So, at the moment we do not have any plan to make it a regular programme but that is not to say that we will never do that.
(Please also refer to the Chinese part.)
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The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy the securities of HKSAR Government in the United States. HKSAR Government's securities may not be offered or sold in the United States absent registration under the United States Securities Act of 1933 or an exemption from registration. Any public offering of securities in the United States will be made by means of an offering circular that can be obtained from the HKSAR Government, and the offering circular will contain detailed information about the HKSAR Government. No money, securities or other consideration is being solicited by this document.
The information contained herein also does not constitute an offer to sell or a solicitation of an offer to buy HKSAR Government's securities nor shall there be any sale of such securities in any state or country in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or country.
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