Kuaishou Technology plans to raise a combined US$2 billion from a dual-currency bond sale as the short-video platform operator tapped the debt market to strengthen its businesses.
The company would issue two tranches of US$1.5 billion bonds and 3.5 billion yuan (US$502.4 million) of bonds, according to an exchange filing. The US dollar bonds maturing in January 2031 will carry a coupon rate of 4.125 per cent, while those due in January 2036 will carry a 4.75 per cent rate. The yuan bonds will have a coupon rate of 2.45 per cent.
Kuaishou said it would use the proceeds for general purposes, without giving further details.
Shares of Kuaishou rose 0.3 per cent to HK$79.75 on Friday in Hong Kong, adding to a 22 per cent gain this year.
Kuaishou, the nation’s second-largest short-video platform operator, is facing intensified competition from industry rivals such as ByteDance’s Douyin and Tencent Holdings’ WeChat Video, as key players vie for more users and bigger market shares in the sector.
Kuaishou’s daily active user numbers continued to grow, and the amount of time users spent on the platform remained steady, according to S&P Global Ratings.
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