Sinopec raises $6.4bn in bond sale

State-owned China Petrochemical Corp., aka Sinopec Group, has raised US$6.4 billion through a bond sale that ranked as the third-largest in Asia on record, The Wall Street Journal reported. By tapping European investors Sinopec was able borrow at costs as low as 0.5% and 1% for three and seven-year bonds totaling EUR1.5 billion (US$1.6 billion), with the rest of the debt sold in dollars with coupons between 2.5% and 4.1% at lengths of up to 30 years. The sale attracted more than US$15 billion in subscriptions underscoring increased demand for higher yields in emerging markets, particularly when backed by governments.