Mortgaging Guigang Wuyue Plaza, Seazen Holdings Issues Another RMB 400 Million Corporate Bond
A 400 million yuan corporate bond of Seazen Holdings is being implemented.
On September 16, Seazen Holdings Group Co., Ltd. announced that its 2026 publicly issued corporate bonds for professional investors (Phase I) will conduct interest rate inquiries to offline professional investors on September 21, and announce the final coupon rate on the website of Shanghai Stock Exchange on the same day.
The current bond issue is divided into two tranches: the issuance size of Tranche 1 is 300 million yuan with the coupon rate inquiry range of 6.00%-7.00%, and the issuance size of Tranche 2 is 100 million yuan with the coupon rate inquiry range of 4.00%-5.00%.
The prospectus discloses that in the issuance of the current bonds, the mortgagor provides mortgage guarantee for the maturity repayment of Tranche 1 of the current bonds with the ownership of the legally held commercial property, and all the mortgaged commercial properties are located in Guigang Wuyue Plaza.
It is worth mentioning that this is another asset-based financing arrangement launched by Seazen Holdings this year relying on the operating commercial asset of "Wuyue Plaza".
Combined with multiple financing channels this year, the "Wuyue Plaza" core asset is becoming the "stepping stone" for Seazen Holdings to open the door of the bond market.
01
Repaying Old Debts with New Issuances
According to the public notice, the total issuance size of this bond is no more than RMB 400 million (including 400 million yuan), divided into two tranches. Each tranche has a face value of 100 yuan per bond, an issuance price of 100 yuan per bond, a maturity of 2 years, and is attached with the issuer's redemption option at the end of the first year, the issuer's coupon rate adjustment option and the investor's putback option.
Among them, the total issuance size of Tranche 1 is no more than RMB 300 million (including 300 million yuan), with the coupon rate inquiry range of 6.00%-7.00%; the total issuance size of Tranche 2 is no more than RMB 100 million (including 100 million yuan), with the coupon rate inquiry range of 4.00%-5.00%.
According to the issuance documents, after deducting the issuance expenses, the funds raised by the current bonds are planned to be used to replace the issuer's own funds used to repay the principal of the issued corporate bond "23 Xincheng 01".
It is understood that "23 Xincheng 01" is a general corporate bond issued by Seazen Holdings on June 16, 2023, with a bond size of 400 million yuan, a coupon rate of 4.50%, and a maturity of 3 years. It has completed principal and interest repayment and delisting in June this year, which was also born for replacing the old corporate bonds at that time.
In terms of medium-term notes, Seazen Holdings successfully issued the first tranche of 2026 medium-term notes in July, with a size of 750 million yuan, a maturity of 5 years, a coupon rate of only 2.8%, and a subscription multiple of 2.45 times, which is fully, unconditionally and irrevocably guaranteed by China Bond Credit Enhancement Investment Co., Ltd. The funds raised by this medium-term note are mainly used to repay the principal of the debt financing instrument "23 Seazen Holdings MTN001" maturing in July.
That is to say, within two months, the interbank medium-term notes and general corporate bonds have been issued successively, both of which are used to replace the existing debts that matured before.
This move of repaying old debts with new bonds is a common rolling mode of repaying old debts with new ones in the financing channels of real estate enterprises. Reviewing since the beginning of this year, there is more than one private real estate enterprise that has successfully issued bonds.
For example, Binjiang Group issued 600 million yuan 2-year medium-term notes with a coupon rate of 2.75% in March this year, and issued 600 million yuan 1-year short-term financing notes with an interest rate of 2.07% in April; New Hope Real Estate issued 680 million yuan 5-year medium-term notes with a coupon rate of 2.75% at the end of April; Chongqing Huayu Group issued 990 million yuan 3-year medium-term notes with a coupon rate of 3.75% in March.
Most of the above financing purposes follow the path of repaying old debts with new ones and extending the maturity of debts, and only a small part of the funds is used to supplement the working capital of project operation.
In addition to domestic financing, this model also applies to overseas debts.
In March this year, Seazen Holdings announced that its overseas subsidiary NEW METRO GLOBAL LIMITED has completed the overseas issuance of guaranteed priority notes with a total amount of 355 million US dollars.
The relevant bonds have been listed on the Singapore Exchange on March 10, 2026, with an annual interest rate of 11.8% and maturity in 2029. The raised funds are also used to repay the overseas medium and long-term debts maturing within one year of the company.
Under the high interest rate of new overseas bonds, the logic of bond issuing enterprises is still "repaying old debts with new ones".
02
Financing "Confidence Backing"
It is worth mentioning that during the issuance of this 400 million yuan corporate bond, Seazen Holdings supplemented the public notice that the investment property of Guigang Wuyue Plaza held by its holding subsidiary Guigang Hengyue Commercial Management Co., Ltd. will provide mortgage guarantee for Tranche 1 of the current bonds, and the mortgagee is CITIC Securities, the trustee of the current bonds.
It is reported that the total assessed value of the mortgaged property is 603 million yuan, which is about twice the issuance size of Tranche 1. This is also another asset-based financing arrangement carried out by Seazen Holdings this year relying on the operating commercial asset of "Wuyue Plaza".
In fact, the reserve of commercial assets has always been the financing "confidence backing" of Seazen Holdings.
In terms of scale, as of the end of the first half of 2026, Seazen Holdings has laid out 212 Wuyue Plazas in 147 cities across the country, with 181 Wuyue Plazas already in operation, an operating area of 16.7531 million square meters, and an occupancy rate of 98.35%.
Previous observations from Viewpoint New Media show that during the downward period of the real estate industry, Seazen actively implemented strategic contraction, gradually reduced the proportion of its main residential development business, shifted its business focus to commercial operation and agency construction business. The revenue scale of commercial operation in the first half of the year exceeded the development business for the first time, and its Wuyue Plazas have become the core pillar of revenue and gross profit.
In the first half of the year, the total commercial operation revenue of Seazen Holdings reached 7.112 billion yuan, a year-on-year increase of 2.42%; among which the rental income was 6.636 billion yuan, a year-on-year increase of 2.43%.
According to the disclosure of the interim report, in the first half of 2026, Seazen Holdings added a total of about 7 billion yuan of operating property loans and supporting financing with Wuyue Plaza as the collateral.
This financing is the largest new financing in the first half of the year. The underlying assets are all self-owned Wuyue commercial properties, which belong to long-term mortgage bank loans, used to supplement funds and replace existing financing.
As of the end of the interim report, the total bank credit line obtained by the company was 64.4 billion yuan, of which 23.7 billion yuan has been used.
Relying on the rental cash flow of Wuyue Plaza, Seazen Holdings has broken through the financing channels.
On June 30 this year, Seazen Holdings completed the expansion and issuance of the country's first consumer inter-institutional REITs, the Guojin Asset Management Wuyue Plaza Special Plan, with a scale of 2.146 billion yuan. Two new Wuyue Plazas in Jinnan of Tianjin and Rugao of Nantong were included, and the total scale of the product after expansion reached 3.21 billion yuan.
At the same time, the GF Seazen Wuyue Commercial REIT with underlying assets of Changzhou Tianning Wuyue Plaza and Nantong Qidong Wuyue Plaza is also in the application process. This public offering REIT has been officially accepted by the China Securities Regulatory Commission and the Shanghai Stock Exchange in March, and was approved for registration by the CSRC in early September, with an estimated raised scale of 1.541 billion yuan.
In addition, the first tranche of asset-backed special plan (CMBS) with a scale of 895.8 million yuan also remained in full after the putback period.
It is not difficult to see that Seazen Holdings is operating the "heavy asset" of Wuyue Plaza into a reusable financing chip, and the compound interest of this chip is also fed back to the external credit.
According to the semi-annual report of Seazen Holdings, during the reporting period, S&P raised the company's rating outlook from "Negative" to "Stable".
However, it needs to be noted that the growth rate of commercial operation revenue has dropped from 19.44% in the first half of 2024 to 2.42%, the rental growth has entered a plateau period, and the mortgage space of commercial assets is also narrowing.
After fully repaying the domestic and overseas public market bonds totaling 3.643 billion yuan as scheduled in the first half of the year, the company still has about 9.6 billion yuan of interest-bearing debts maturing within one year.
This article is from "Viewpoint News", authorized for distribution by 36Kr.