China’s Struggling Junk Dollar Bond Market Just Got a Rare Deal

Chinese mall owner and manager Red Star Macalline Group Corp. has sold a $249.7 million dollar bond with bank support, a rare deal this year among the country’s noninvestment-grade private-sector firms.

The 3-year note was priced with a 5.2% yield and proceeds will go toward repaying existing debt, according to a person familiar with the matter who asked not to be identified because they’re not authorized to speak about the deal. Bank of Shanghai Co.’s Beijing branch is providing a standby letter of credit for the note, which effectively carries the lender’s pledge to repay if the issuer fails to ...