Huawei's bonds can only be purchased by relevant financial institutions, including commercial banks with legal personality in China and their authorized branches. Because Huawei has not been listed yet, investors can't buy the bonds issued by Huawei directly, but they can only buy them indirectly by investing in Public Offering of Fund, but it is difficult.
The purchase methods of Huawei bonds are as follows:
1. Purchase by financial institutions. Relevant financial institutions (commercial banks and other financial institutions with legal personality in China or their authorized branches, etc.) can make purchases through the inter-agency bond trading market.
second, personal purchase. Because Huawei has not been listed, individuals can't buy its bonds directly, but they can only buy them indirectly by investing in Public Offering of Fund, but it is difficult.
In fact, Huawei has previously issued relevant bonds overseas, including two RMB dim sum bonds and four US dollar bonds. As of the end of the first half of 219, the balance of bonds payable by Huawei reached 3.782 billion yuan.
With Huawei's domestic bond issuance plan, more details about Huawei's financial projects are also disclosed in the market.
according to the prospectus, the fund-raising purpose of this bond is to supplement the working capital of the company's headquarters and its subsidiaries. By the end of June 219, Huawei disclosed five projects under construction, including Gui 'an Huawei Cloud Data Center Project, Huawei Gangtou Talent Apartment Project, Suzhou R&D Project, Huawei Songshan Lake Terminal Project Phase II and Songshan Lake Huawei Training College. The proposed projects include Shanghai Qingpu R&D and Wuhan Haisi Factory, with a total investment of 1.985 billion yuan and 18.1 billion yuan respectively.
in the prospectus, Huawei's business structure and its income in the last three years are also announced.
The prospectus shows that by the end of the first half of 219, Huawei's net assets and total assets were 245.487 billion yuan and 75.716 billion yuan respectively. The operating income of the four periods from 216 to the first half of 219 was 518.68 billion yuan, 598.48 billion yuan, 715.192 billion yuan and 396.538 billion yuan respectively; The net profit for the same period was 37.52 billion yuan, 47.455 billion yuan, 59.343 billion yuan and 34.94 billion yuan respectively.
According to the data, Huawei's cash position is very good. By the end of the first half of 219, its monetary fund reached 249.731 billion yuan. With abundant monetary funds, Huawei has also carried out cash management through wealth management products. By the end of the first half of 219, Huawei had invested 55.5 billion yuan in bank wealth management and structured deposits, and invested 14.39 billion yuan in monetary funds and 1.124 billion yuan in bonds, totaling more than 7 billion yuan.
how can Huawei buy bonds?
Huawei, with 25 billion yuan in cash, will issue 6 billion bonds in China, with ICBC as the lead underwriter for the first phase and China Construction Bank as the lead underwriter for the second phase.
These two medium-term notes are in the inter-bank market, which is the market of institutional investors. There is no way for individual investors to directly participate in the primary bidding or secondary trading of inter-bank bonds. However, individual investors can participate in the market indirectly by investing in Public Offering of Fund. There is no obligation to disclose Public Offering of Fund's investment bonds in advance, so it is still difficult for investors to use Public Offering of Fund to invest in Huawei to issue bonds.
the first phase of the medium-term notes has a maturity of 3 years, and the main body's long-term credit rating and debt rating are AAA. The funds obtained from this bond issue will be used to continuously focus on ICT infrastructure construction and provide customers with better product solutions and services.
Of course, individual investors can choose to buy some stocks related to Huawei's concepts without purchasing Huawei's bonds.