JPMFC acted as the underwriter on the Auto ABS Offering for Jincheng Bank Co., Ltd.
As sole lead underwriter and bookrunner, J.P. Morgan First Capital (“JPMFC”) successfully completed the Auto ABS transaction for Jincheng Bank Co., Ltd. (“the Issuer”) on July 20th, 2017. This is the 20th credit asset securitization transaction led by JPMFC as well as the 3rd tranche of the RMB 8.0 billion package which we helped the client register with PBOC.
During the deal execution process, JPMFC helped the bank perform sufficient feasibility analysis, designed the deal structures, prepared all application documents and effectively communicated with regulatory authorities. As a result, the transaction was approved very smoothly and quickly by the authorities, which was highly recognized by the client.
Given the huge supply of ABS products starting this month, the DCM team did an intense market sounding and launched the bond at a favorable time window. The coupon rate for tranche A1, tranche A2 and tranche B was priced at 4.83%, 5.24% and 5.60% respectively with oversubscription, which was beyond the Issuer’s expectation. This deal has again demonstrated JPMFC’s remarkable distribution ability and wide coverage scope of investors.