China Life Insurance is in discussions with bankers to issue a 10-year Tier-2 bond to raise between $1bn and $2bn, reported Reuters quoting two people with direct knowledge of the matter.
China’s second-biggest insurer by assets sent invitations to banks last week for the role of global bookrunners, one source said.
The sources asked not to be named as the information is not public. China Life did not respond to an email from Reuters seeking comment on the deal.
The bond will likely be callable, giving the issuer the right to redeem after five years, the sources said.
The last time China Life Insurance raised funds in the bond market was in March 2019, issuing CNY35bn ($4.9bn) in China’s interbank bond market.
The company, which reported CNY327.2bn premium income in the first quarter of this year, had no outstanding dollar debt as of its 2022 annual report.
