China State-Owned Investment Firm’s 30-Year Bond is Oversubscribed as Investors Queue Up

China Chengtong Holding Group Ltd., the state-owned capital management firm, issued a 1 billion-yuan ($139 million) 30-year bond on Wednesday. This is the first ultra-long-term credit debt issued in recent years.

The proceeds of the bonds, with a coupon rate of 3.35%, will be used to repay existing debt, China Chengtong said.

Non-financial bonds with a maturity period exceeding seven years are often categorized as ultra-long-term credit bonds. Major state-owned enterprises, including oil giants such as PetroChina Co. Ltd. and Sinopec, had previously issued such ultra-long-term credit bonds with coupon rates of around 5%, a fixed-income investor told Caixin.