The above-mentioned 10 billion scale of special bonds will support four small and medium-sized banks, including Yunan rural credit cooperatives, Puning rural commercial bank, Jiedong agricultural commercial bank and Luoding rural commercial bank.
According to the implementation plan, Guangdong Yuecai Investment Holding Co., Ltd. (hereinafter referred to as Yuecai investment) as the main body of capital operation, injected capital to supplement capital through indirect equity investment, with funds of 4 billion yuan, 3.7 billion yuan, 1.4 billion yuan and 900 million yuan respectively.
Through the special debt to invest in one rural credit cooperatives and three rural commercial banks, the first is to increase capital, consolidate the foundation of risk prevention and control, the second is to change the operation mechanism to achieve sustainable development, and the third is to achieve sustainable development.
According to the bond issuance documents, the maturity of the bonds is 10 years, and the interest payment frequency is half a year. The interest payment dates are June 8 and December 8 of each year (postponed in case of holidays). The principal repayment method is to repay the principal at 20% of the issuance scale in the 6th to 10th year of the duration. The debt repayment fund comes from dividend, credit asset recovery and market equity transfer. It is expected that the debt repayment fund can cover the principal and interest of the current bond.
According to the raised investment documents, taking the capital increase of Puning rural commercial bank by special bonds of 3.7 billion yuan as an example, the coverage ratio of principal and interest is 1.13 times when 90% of the repayment fund is expected to be realized.
In terms of rating, the document shows that Shanghai new century credit rating gives the bond AAA rating. According to the rating report, the debt income, arranged expenditure and debt service of the current bonds are included in the budget management of Guangdong provincial government funds.
The exit mechanism has clear operation model
This time, the total limit of local government special bonds is 200 billion yuan, which supports small and medium-sized banks in 18 regions and allows provincial governments to issue special bonds in accordance with regulations. The market believes that this practice will help to broaden the channels of external capital supplement and ease the capital pressure of small and medium-sized banks.
However, the exit mode of special bonds has not been clear, which has been widely concerned by the market. At this time, the Guangdong mode provides a clear operation model.
Prior to that, Wenzhou bank, Guangxi Beibu Gulf Bank, Wuhai bank and Inner Mongolia bank disclosed their plans to apply for local special bonds to supplement capital. Among them, Wenzhou bank disclosed the path of special debt to cover capital, but did not disclose the exit way.
In terms of the exit arrangement, the raised investment documents of Puning Rural Commercial Bank show that the interest will be paid in the first five years (the grace period for principal repayment), and the principal and interest will be repaid in the next five years. After the five-year grace period, the shares held by Yuecai investment will be transferred through marketization. The rural credit cooperatives of Guangdong Province will organize the agricultural commercial banks of Guangdong Province to participate in the market-oriented transfer, so as to recover the principal and interest of special bonds smoothly.
Dong ximiao, chief researcher of consumer finance at Zhaolian, told reporters that the Guangdong model is to increase capital by directly investing in shares, which is better than the previous markets idea of subscribing convertible bonds. Moreover, the exit arrangement is very clear, with a clear timetable, and it is implemented in two stages, which is also in line with the reality. However, there are some uncertainties in the market-oriented transfer.
Commercial banks make up capital
Under the influence of business environment changes and other factors, in recent years, the pressure of capital replenishment of commercial banks has not decreased, and this year is no exception.
According to the CBRC data, at the end of the third quarter of 2020, the core tier one capital adequacy ratio of commercial banks (excluding foreign bank branches) was 10.44%, down 0.02 percentage points from the end of the previous quarter; the tier one capital adequacy ratio was 11.67%, up 0.07 percentage points compared with the end of last quarter; the capital adequacy ratio was 14.41%, up 0.20 percentage points compared with the end of last quarter.
Small and medium-sized banks are generally faced with greater operational pressure, frequent risk situation, and the problem of capital shortage is becoming more and more obvious, but there is a lack of effective capital supplement channels.
According to winds statistics on capital replenishment of commercial banks since this year, at present, only Xiamen bank has successfully launched A-share IPO, with a net fund-raising of 1.739 billion yuan, and 16 others are queuing up; 4 companies have completed fixed increase, totaling 31.4 billion yuan; 2 have issued convertible bonds, totaling 9.5 billion yuan; 1 has successfully implemented preferred shares, totaling 6 billion yuan; and the issue and listing will last forever The amount of bonds was 599.5 billion yuan, and the scale of secondary capital bonds issued and listed reached 1185.68 billion yuan. Most of the above-mentioned commercial banks are urban and rural commercial banks, and they have obviously accelerated the speed of capital replenishment since the third quarter, but the channels to supplement core tier one capital are both narrow and slow. Its really difficult, especially for the unlisted small and medium-sized banks, and there are almost no other channels. In recent years, it is almost impossible for small and medium-sized banks to replenish core tier one capital through profit retention, and it is also difficult to increase shareholders capital and share; it is also difficult to issue secondary capital bonds, and some banks have recently cancelled the issuance of secondary capital bonds. The problem is getting worse. Dong ximiao said. Since November, many small and medium-sized banks have planned and implemented capital increase and share expansion, such as Baixin bank. Editor: Chen Yu source: Shanghai Securities News Author: Wei Qian editor in charge: Zhong Qiming_ NF5619
Most of the above-mentioned commercial banks are urban and rural commercial banks, and they have obviously accelerated the speed of capital replenishment since the third quarter, but the channels to supplement core tier one capital are both narrow and slow.
Since November, many small and medium-sized banks have planned and implemented capital increase and share expansion, such as Baixin bank.