Chinese developer Country Garden Holdings Co. Ltd. listed the first tranche of its 10.00 billion yuan worth of asset-backed securities for rental housing on the Shenzhen stock exchange, according to an exchange filing May 23.
The scale of the first tranche, which started trading May 24, amounted to 1.72 billion yuan, with a yield of 5.75%. Underlying assets include Country Garden's four long-term rental apartment projects in the Chinese cities of Beijing, Shanghai and Xiamen, Sina Finance reported May 24.
Qualified investors holding Shenzhen A-share securities accounts and fund accounts may participate in the trading of the rental housing investment product, the exchange filing noted.
Country Garden is China's largest homebuilder by sales. The issuance of asset-backed securities, or what is also known as quasi-real estate investment trusts in China, is one of the first of its kind in the country for rental housing financing products, which use rental income as an underlying asset.
As of May 23, US$1 was equivalent to 6.39 yuan.
