Pacific Andes Resources Development, the Singapore-based processor of frozen seafood and vegetables, postponed its first sale of yuan-denominated bonds in Hong Kong citing unfavorable market conditions.

The sale is delayed because trading in the so-called Dim Sum market is volatile and recent offerings by Chinese property companies pushed yields “quite high,” Katie Tsui, an investor relations manager at the company, said in a telephone interview from Hong Kong.

Pacific Andes hired Bank of America Corp., HSBC Holdings Plc and Standard Chartered Plc to help it sell three- and five- year yuan bonds, it said Jan. 14. Proceeds were to be used for capital spending and to refinance debt, it said at the time.

 

Demand for yuan-denominated assets on expectations of currency appreciation helped Hong Kong sales of yuan bonds increase 10-fold since 2008 to 35.7 billion yuan ($6.9 billion) last year, according to data compiled by Bloomberg. A unit of Shui On Land sold 3.5 billion yuan of 7.625% notes due 2015 on Jan. 19, the data show.