Macquarie expands Asia debt business
(30 June 2011 – Asia) Macquarie Group is expanding its bond and loan arranging business in Asia, adding to its existing team of 10, which is split between Hong Kong and Singapore.
According to Macquarie Group Asia debt advisor head Stephen Panizza, transactions and high-yielding clients are demanding more access to debt investors.
'Our clients in Asia are mid-market, high-growth businesses that constantly need capital,' Singapore-based Mr Panizza said.
'As liquidity returned to the market after the credit crisis, we came to the conclusion we needed to build out a debt capital markets capability to deliver to our clients access to a wider array of capital sources.'
Yuan-denominated bond sales in Hong Kong may reach 200 billion yuan (A$29.65 billion) this year, according to Mizuho Securities Asia, as Chinese companies seek to circumvent lending curbs on the mainland.
Macquarie helped Powerlong Real Estate Holdings sell 750 million yuan in three-year, 11.5 percent notes in March.
'Clearly, it would be a huge challenge to break the established order, but that's not our objective,' Mr Panizza said.
'Powerlong is a good example. We invested pre-IPO, we did the IPO, then, when they wanted to do a debt issue, naturally we were there to help.'
The Asia-Pacific region accounted for 8 percent of the bank's revenue for the year to March 31, versus 12 percent in 2010.
'Our clients in Asia are mid-market, high-growth businesses that constantly need capital,' Singapore-based Mr Panizza said.
'As liquidity returned to the market after the credit crisis, we came to the conclusion we needed to build out a debt capital markets capability to deliver to our clients access to a wider array of capital sources.'
Yuan-denominated bond sales in Hong Kong may reach 200 billion yuan (A$29.65 billion) this year, according to Mizuho Securities Asia, as Chinese companies seek to circumvent lending curbs on the mainland.
Macquarie helped Powerlong Real Estate Holdings sell 750 million yuan in three-year, 11.5 percent notes in March.
'Clearly, it would be a huge challenge to break the established order, but that's not our objective,' Mr Panizza said.
'Powerlong is a good example. We invested pre-IPO, we did the IPO, then, when they wanted to do a debt issue, naturally we were there to help.'
The Asia-Pacific region accounted for 8 percent of the bank's revenue for the year to March 31, versus 12 percent in 2010.
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