SNGAPORE, April 14, 2015
/PRNewswire/ -- China Yuchai International Limited (NYSE:
CYD) ("China Yuchai" or the "Company") announced today that its
key subsidiary, Guangxi Yuchai Machinery Company Limited ("GYMCL")
further to the receipt of approval from China's National Association of Financial
Market Institutional Investors ("NAFMII") for the issuance of
RMB-denominated unsecured ultra short-term bonds not exceeding 270 days amounting to
RMB 2 billion ("Bonds") had, on
April 8, 2015 issued the first
tranche of the Bonds amounting to RMB 400
million. The par value and issue price of each Bond is
RMB 100. The maturity date of the
first tranche of the Bonds is May 9,
2015.
The first tranche of the Bonds will bear a fixed annual interest
rate of 4.9%. Subscription to and trading of the Bonds is only
available in China to
institutional investors of China's
National Inter-bank Bond Market. The lead underwriter and
bookrunner for the Bonds is the China Development Bank.
The proceeds from the issuance of the Bonds are to be used by
GYMCL for working capital purposes and repayment of loans. GYMCL
decided on the Bonds issue as it is a cost effective option of
raising capital in the current monetary market. China's benchmark one-year lending rate is
currently at 5.35% and the prevailing discount rate for bank bills
is higher than the fixed annual interest rate of the
Bonds. GYMCL will continue to review its financing
strategy according to changes in China's economic environment and monetary
policy.
This press release does not constitute an offer of securities
for sale in the United States, and
securities may not be offered or sold in the United States absent registration or an
exemption from registration. The Company does not intend to
register any portion of the Bonds issue referred to above in
the United States or to conduct a
public offering in the United
States. Any public offering of securities to be made in
the United States will be by means
of a prospectus that can be obtained from the Company and that will
contain detailed information about the Company and management, as
well as financial statements.
About China Yuchai International
China Yuchai International Limited, through its subsidiary,
Guangxi Yuchai Machinery Company Limited ("GYMCL"), engages in the
manufacture, assembly, and sale of a wide variety of light-,
medium- and heavy-duty engines for trucks, buses, passenger
vehicles, construction equipment, marine and agriculture
applications in China. GYMCL also
produces diesel power generators. The engines produced by GYMCL
range from diesel to natural gas and hybrid engines. Through its
regional sales offices and authorized customer service centers, the
Company distributes its engines directly to auto OEMs and retailers
and provides maintenance and retrofitting services throughout
China. Founded in 1951, GYMCL has
established a reputable brand name, strong research and development
team and significant market share in China with high-quality products and reliable
after-sales support. In 2014, GYMCL sold 483,825 engines and is
recognized as a leading manufacturer and distributor of engines in
China. For more information,
please visit http://www.cyilimited.com.
Safe Harbor Statement
This news release may contain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. The words "believe", "expect", "anticipate", "project",
"target", "optimistic", "intend", "aim", "will" or similar
expressions are intended to identify forward-looking statements.
All statements other than statements of historical fact are
statements that may be deemed forward-looking statements. These
forward-looking statements are based on current expectations or
beliefs, including, but not limited to, statements concerning the
Company's operations, financial performance and condition. The
Company cautions that these statements by their nature involve
risks and uncertainties, and actual results may differ materially
depending on a variety of important factors, including those
discussed in the Company's reports filed with the Securities and
Exchange Commission from time to time. The Company specifically
disclaims any obligation to maintain or update the forward-looking
information, whether of the nature contained in this release or
otherwise, in the future.
For more information, please contact:
Kevin Theiss
Grayling
Tel: +1-646-284-9409
Email: cyd@grayling.com
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SOURCE China Yuchai International Limited