Sichuan Expressway Plans $1.79 Billion Asset Securitization

By P.R. Venkat Sichuan Expressway Group plans to raise up to 12 billion yuan, equivalent to $1.79 billion, by securitizing its expressway assets to pare debt and meet working capital needs. The assets will be securitized through a Quasi-REIT to be launched on the Shanghai Stock Exchange, the company said Friday.

Sichuan Expressway expects to offer the senior securities, which are expected to be AAA rated, to qualified investors only. The securities are likely to carry a fixed interest rate of between 1.8% and 2.5%, it said. The underlying assets of the Quasi-REIT are linked to the West Section of the Chengdu Second Ring Expressway in China.

CITIC Securities will act as manager for the Quasi-REIT issuance. Nearly 80% of the proceeds will be used to repay existing debt, with the remainder used to meet working capital needs, Sichuan Expressway said. Sichuan Expressway will retain control of the project company after the issuance.

Write to P.R. Venkat at venkat.pr@wsj.com (END) Dow Jones Newswires September 03, 2026 20:33 ET (00:33 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties.

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