Citi’s Agency and Trust Appointed Agent for Asian Development Bank’s Landmark RMB Bond Issue
Hong Kong - November 29, 2010 – Citi’s Agency and Trust business, part of the Global Transaction Services division, has been appointed as paying agent, lodgement agent, registrar and transfer agent for Asian Development Bank’s (ADB) landmark CNY1.2 Billion bond issue. Offshore Renminbi (RMB) bonds are a new category of bonds permitted under agreements reached by the Hong Kong Monetary Authority and the People’s Bank of China in 2010.
This significant transaction marks the first offshore RMB bond to be issued by a Supranational and is the first to receive an "AAA" rating by international rating agencies. It is also the first publicly-listed bond on the Hong Kong Stock Exchange to be traded and settled in RMB.
"Citi congratulates ADB on their successful landmark RMB bond issue. As a leading provider of corporate trust and RMB services in the Asia-Pacific region, Citi is well-positioned to support this innovative transaction and is excited to work with clients as they access the growing offshore RMB market," said Ben Lumleysmith, Director, Regional Head, Agency and Trust, Asia Pacific, Global Transaction Services, Citi.
In its role, Citi will provide a variety of services to ADB, including liaising with bondholders and the Hong Kong Monetary Authority’s Central Moneymarkets Unit (CMU) settlement agency and processing principal and interest payments until maturity.
In addition to bond administration, Citi Agency and Trust has recently launched a number of new product enhancements to support offshore RMB transactions. Covering RMB bonds, loans, escrows and structured finance transactions, these new capabilities allow Citi’s clients to access the growing RMB market both in Hong Kong and internationally.
Citi Agency and Trust provides innovative banking solutions to financial institutions, corporate clients and public sector entities. Spanning a network of over 70 countries, the business offers a full range of agency, fiduciary, tender and exchange, depository and escrow services, administering over US$4 trillion in fixed income and equity securities on behalf of 2,800 clients.
Citi, the leading global financial services company, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Through Citicorp and Citi Holdings, Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management. Additional information may be found at www.citigroup.com or www.citi.com.
About Global Transaction Services
Global Transaction Services, a division of Citi’s Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network that spans more than 100 countries, Citi’s Global Transaction Services supports over 65,000 clients. As of the third quarter of 2010, it held $340 billion in liability balances and $12.4 trillion in assets under custody.