Grocery giant Tesco has become the first international retailer to raise money in China with the issue of a ‘dim sum’ bond.
The retailer launched an offshore Chinese Renminbi-denominated bond issue in Hong Kong, generating the equivalent of £70m.
The cash raised will be used to develop Tesco’s retail business in China, where it has 105 shops and reflects “confidence in the Chinese market and strong commitment to growing a prosperous local business”.
Tesco chief financial officer Laurie McIlwee said:”China is an important market for us and represents a great growth opportunity.
“This is a new and innovative way of funding our business as it continues to grow and demonstrates our commitment to China.”