Tencent Holdings has arranged its first bond sale since 2020

Chinese multinational technology conglomerate, Tencent Holdings, has lined up banks to manage its first bond sale in four years. 

The offering may be structured across multiple maturities and currencies, adding to the company’s $17.75 billion in outstanding notes. Its sale also coincides with a record-setting year for dim sum bonds, with Chinese issuers securing $46.2 billion year-to-date on the back of favorable financing conditions and robust investor interest.

So far, Tencent has tapped JPMorgan Chase, Bank of America Securities, and Morgan Stanley to arrange the program.

Tencent has upcoming obligations, including a $500 million maturing in April 2026

Tencent deal’s timing will hinge on market conditions, internal capital requirements, and investor appetite, in compliance with the applicable regulations. The company has yet to reveal how much it intends to raise, but the move seems driven by both necessity and market opportunity.

With the September issuance window wide open, many issuers are hurrying to lock in financing before conditions potentially turn less favorable.

Tencent already faces a squeezing debt schedule, with a $500 million note maturing in April 2026 and another $1 billion bond due in January 2026. Although the company had long floated the prospect of dollar- and yuan-denominated issuance, the deal only came to market this year.

However, with rates in Asia’s currency markets that are friendly to the company, this window may enable Tencent to deal with its upcoming debt maturities effectively. On the earnings side, the company reported strong June-quarter results with sales rising 15% to $25.7 billion, about 3% ahead of its guidance.

As earlier reported by Cryptopolitan, the company posted a 17% rise in net income, driven largely by the firm’s stronger margins across advertising and gaming segments. Among the contributors cited by the company for its results were AI-powered advertisements and the growth of gaming and social media efforts.

Besides, Tencent is ramping up its investments in artificial intelligence R&D. The company has even added Yao Shunyu, an artificial intelligence expert who formerly worked at OpenAI, to its team. According to people familiar with the matter, Yao will work from Tencent’s main offices in Shenzhen, helping integrate AI across its products.

Alibaba Group Holdings revealed its $3.2 billion pricing of its note offering

Alibaba Group Holdings also disclosed the $3.2 billion pricing of its convertible note sale, making it the biggest offering so far in 2025. The offering is scheduled to close on September 16, 2025, pending standard closing conditions.

The company estimates earning about $3.13 billion from the net offering. Toughly 80% of which will be used to strengthen its cloud infrastructure, including scaling data centers, upgrading systems, and enhancing service quality.

Around 20% of the balance will be invested in international commerce operations, emphasizing operational improvements to boost the global market presence.

Upon issuance, the notes will be senior unsecured obligations of Alibaba and will mature on September 15, 2032, unless they are redeemed or repurchased, or converted before that time.

These investors cannot convert the notes during the 40 days following issuance, referred to as a “distribution compliance period.” After that, and until the business day before March 15, 2032, holders may convert their notes in $1,000 increments as long as certain conditions are met.

In other words, if Alibaba decides to settle conversions, it can pay in cash, ADSs, or a combination of both, providing the company with flexibility to address dilution. Investors who wish to receive ordinary shares instead of ADSs will be required to complete a separate process outside the DTC system and follow applicable deadlines.

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