Core Viewpoint - The article discusses the practice of cash tender offers in China's bond market, highlighting its role as an important tool for issuers to actively manage their debt and suggesting policy recommendations to promote its development [1][5]. Group 1: Basic Concept and Function of Cash Tender Offers - Cash tender offers involve issuers making an offer to all bondholders to repurchase some or all of their outstanding bonds for cash, which is a proactive measure during the bond's life [1]. - This method is characterized by high flexibility and strong market orientation, serving to optimize debt structure, reduce financing costs, enhance market confidence, stabilize bond prices, and alleviate liquidity pressure [1]. Group 2: Current Development Status and Institutional Foundation - In overseas markets, bond repurchases by issuers are common and include various methods such as open market repurchases, tender offers, and bond exchanges [2]. - China has gradually established a framework for cash tender offers since 2019, with regulatory guidance from the Shanghai Stock Exchange and the National Association of Financial Market Institutional Investors [2]. - The scale of cash tender offers in the interbank market has been increasing year by year, indicating a growing market acceptance [2]. Group 3: Market Situation from Research Findings - Research indicates that issuers have insufficient awareness and willingness to engage in cash tender offers, particularly among industrial enterprises [3]. - Investor participation is significantly influenced by price, with a general expectation for the offer price to exceed market price, making the premium level a key factor in their willingness to participate [3]. - The existing information disclosure system does not fully meet investors' needs for credit risk assessment, affecting decision-making efficiency [3]. - There are cognitive differences between issuers and investors regarding the planned repurchase ratio and pricing mechanisms [3]. Group 4: Policy Recommendations - To promote the healthy development of cash tender offers, it is recommended to enhance business promotion and training through case studies and training sessions [4]. - The role of professional institutions should be strengthened to ensure fair and transparent transactions through effective management and communication [4]. - It is suggested that issuers communicate adequately with investors before initiating offers to set reasonable repurchase ratios and prices [4]. - Increasing penalties for violations and ensuring strict enforcement against market manipulation and investor harm are recommended to maintain market order [4]. - Improving the quality of information disclosure and establishing standardized templates for disclosures can enhance the authenticity and comparability of information [4]. Group 5: Conclusion - Cash tender offers represent a significant opportunity for issuers to manage their debt actively, with considerable potential for development in China's bond market [5]. - Through institutional improvements, market guidance, and strengthened regulation, there is potential to enhance market efficiency, optimize debt structures, and promote high-quality development in China's bond market [5].