Convertible Bonds: Trip.com Joins Alibaba in Growing Trend

Reported 6 months ago

Trip.com has announced a $1.3 billion convertible senior notes offering following the footsteps of Chinese tech giants like Alibaba, JD.com Inc., and Lenovo Group Ltd. The move aims to repay debt, expand overseas, and boost working capital needs. Trip.com plans to repurchase 6 million American depository shares to mitigate dilution effects. Amid the increase in convertible bond issuances, the trend provides companies with low-cost funding opportunities, while bankers in Hong Kong benefit from increased deal activities.

Source: YAHOO

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