Asia Tech & New Economy
Asian technology and communications issuers.
Asia's technology and communications sector offers a distinct pocket of USD credit, screening a mix of BBB and BBrated issuers that combine steady income with exposure to digital infrastructure and connectivity. SoftBank Group's USD curve stands out, with the 8.5% notes due 2036 yielding 9.16% and the 7.25% notes due 2032 yielding 9.39%, a clear pickup over shorterdated paper. Most of the SoftBank complex is rated BB+, with some B+ tranches, so investors can choose between higherquality frontend exposure and longerdated names offering extra spread. The 8.25% notes due 2031 at 9.73% and the 9.75% notes due 2034 at 10.42% extend the curve further, giving a range of maturities for building a spreadfocused allocation. Against broader BB and B highyield benchmarks, this group looks relatively attractive on yield for the credit quality on offer, making it a useful relativevalue sleeve within Asian high yield.
| # | Issuer | ISIN | Coupon | YTW | Price | Maturity | Next Call | Rating | CUR | AMT OUT |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | HKT Capital No.1 Ltd. | …4082 | 0 | 22.814 | 101.31 | 2030-01-15 | BBB | USD | 300MM | |
| 2 | Softbank Group Corp. | …AC70 | 9.75 | 10.419 | 96.5892857 | 2034-04-01 | 2034-01-01 | BB+ | USD | 4.5BN |
| 3 | Softbank Group Corp. | …AB97 | 9.25 | 10.073 | 96.625 | 2032-04-01 | 2032-01-01 | BB+ | USD | 4.5BN |
| 4 | Softbank Group Corp. | …7427 | 8.25 | 9.855 | 87.87625 | 2065-10-29 | 2035-07-29 | B+ | USD | 1.1BN |
| 5 | Softbank Group Corp. | …8864 | 8.25 | 9.73 | 94.2896154 | 2031-10-22 | 2031-07-24 | BB+ | USD | 600MM |
| 6 | Softbank Group Corp. | …6676 | 6.875 | 9.669 | 96.5785715 | 2167-07-19 | 2027-07-19 | B+ | USD | 1.75BN |
| 7 | Softbank Group Corp. | …7005 | 7.625 | 9.537 | 89.430375 | 2061-04-29 | 2031-01-29 | B+ | USD | 900MM |
| 8 | Softbank Group Corp. | …2272 | 7.25 | 9.385 | 90.7716667 | 2032-07-10 | 2032-04-11 | BB+ | USD | 600MM |
| 9 | Softbank Group Corp. | …2355 | 7.5 | 9.191 | 90.0364286 | 2035-07-10 | 2035-04-10 | BB+ | USD | 500MM |
| 10 | Softbank Group Corp. | …9169 | 8.5 | 9.155 | 95.9075 | 2036-04-22 | 2036-01-23 | BB+ | USD | 500MM |
Results are limited to USD bonds with an amount outstanding of at least USD 200MM.