Agricultural Bank of China Ltd. said Aug. 20 that it issued 85 billion yuan of undated Tier 1 capital bonds.
The bonds carry a 4.39% coupon rate for the first five years, with the rate to be adjusted every five years. The bonds will be registered at and in the custody of China Central Depository & Clearing Co. Ltd., according to a filing.
Proceeds from the issuance will be used to replenish Agricultural Bank of China's additional Tier 1 capital.
In a separate same-day release, the bank said its redeemed 30 billion yuan of Tier 2 capital bonds. The 10-year bonds were issued in August 2014.
As of Aug. 19, US$1 was equivalent to 7.05 yuan.
