(1) To issue foreign bonds, the borrower must first be rated. The borrowers involve many institutions or companies, and their creditworthiness determines whether bonds can be issued and the amount of loans. Those with high credit standing can be approved for issuance, and the issuance limit is higher. For example, the Japanese government stipulates that the issuance of Japanese yen bonds is government-grade, that is, AAA, and the loan amount is not limited; AA-grade bonds can only issue 30 billion yen; unrated bonds can only issue 10 billion yen.
(2) The amount of foreign bond issuance is large and the financing is multi-national and diversified. The United States stipulates that the amount of U.S. dollar bonds issued in the United States must be at least US$50 million. Judging from the amount of funds raised by issuance of overseas bonds in the world, it is considerable, accounting for about 60% of the total international financing.
(3) There are no strict restrictions on the use of funds, but they must not interfere with the fiscal and financial policies of creditor countries. Creditor countries generally do not have special requirements for the funds raised from the issuance of foreign bonds, their specific uses and usage progress. However, bonds are issued in foreign countries after all, and each country has different economic, financial, taxation and other policies and laws. During the issuance process, Be familiar with and pay attention to local laws.
(4) Foreign bonds are subject to the management of relevant foreign local financial authorities, so the financing procedures are quite complicated. For example, the issuance of Yankee bonds in the United States requires approval from the U.S. Securities and Exchange Commission. Moreover, foreign bond financing has strict and detailed requirements for credit rating, application procedures and submitted information, which is very complicated.
2. International stock financing
International stocks refer to overseas issuance of stocks, which means that companies directly or The indirect route is to issue shares to international investors and list them on domestic and foreign exchanges.
