Bloomberg reports that state-owned firms will pay $2.3bn for a combined 23% stake in Suning.com. The company’s stock jumped 10% on the news while their CNY 4.9% bonds due 2023 jumped 4.4% to 90 while their CNY 5.5% bonds due 2021 rose 4% to 92.6. Suning’s dollar bonds issued by Granda Century and guaranteed by Suning Appliance Group Co Ltd have rallied over 7.6% in the last week since the news of their expected stake sale made headlines. Suning had planned to sell a stake worth $2.5bn to shore up its finances and focus on only core businesses. “Introducing state strategic shareholders is beneficial for the company to further focus on retail services, strengthen the core building of retail in all scenarios, and improve the operational efficiency and profitability of the company’s assets and business,” Suning said. Granda Century’s USD 7.5% 2021s are up 0.2 cents this morning to 90.95 cents on the dollar.
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