Chinese securities firm redeems 3 billion yuan bonds

Chinese securities firm Guoyuan Securities will redeem 3 billion yuan worth of corporate bonds on July 14, 2025, marking the maturity of its 2022 second-phase bond offering. The bonds carried a 3% coupon rate during their final year. Individual investors will receive the equivalent of 102.4 yuan per 1,000 yuan invested after a 20% withholding tax on interest income, while institutional investors receive the full 103 yuan per 1,000 yuan before taxes. The redemption represents a significant cash outflow for the Chinese brokerage as it fulfills obligations to professional investors who participated in the original bond offering three years ago.