Henderson Land to raise $8b via convertible bonds due 2030

Initial conversion price of $36 per share with a denomination of $2m each.

Henderson Land will raise $8b through convertible bonds due on 16 July 2030 with a denomination of $2m or integral multiples thereof, said the company on 8 July.

About $7.92b proceeds from issuing the bond will be used for corporate purposes and refinancing.

The initial conversion price is $36 per share with an annual interest of 0.5% paying quarterly.

Full conversion of the bonds at the initial conversion price would become 222.2 million conversion shares, representing 4.59% of the total issued shares of the company.

Both the bondholders and the issuer could request to redeem the bond; holders can choose to redeem the bond on 16 July 2028, whilst the issuer could redeem the bond any time before the maturity date, but had to inform holders no less than 30 nor more than 60 days.

Henderson Land's stocks dropped 8.6% on the close on Wednesday in response to the announcement.