The Bank of China has issued $4.27 billion of tier-2 capital bonds. This is the second batch it is issuing after the issuance of the first batch of capital bonds in September this year.
The bank valued the first batch at 40 billion yuan ($5.7 billion).
According to the bank, they have issued the bonds at a coupon rate of 4.01%, with a maturity term of ten years. Additionally, the investors will be able to redeem at the end of the fifth year.
Bank of China is one of the four biggest state-owned commercial banks in China. Its headquarters are in Xicheng District, Beijing. As of end 2017, it was the fourth-largest bank in the world in terms of assets.