Hong Kong-based sourcing giant Li & Fung Limited said Friday it is issuing $500 million of perpetual bonds to raise cash for business development and ongoing acquisitions drive.
The company said investors oversubscribed to the issue by over 10 times. The bonds, denominated in U.S. dollars, will have a distribution rate of 6 percent and they will trade on the Singapore stock exchange.
Citigroup and HSBC arranged the transaction, which placed the bonds with investors in Asia and Europe.
Bruce Rockowitz, group president and chief executive officer, told WWD in August that the company is looking to take advantage of economic turmoil and make acquistions in Europe.
“Just like in the U.S. in 2008 and 2009, there’s a lot of opportunity in Europe for good companies that need, maybe, a stronger partner,” Rockowitz said. “We’re definitely looking there.”