Hon Hai Precision Industry Co., Ltd. (HHPD), the Taiwan-headquartered electronics manufacturing giant widely known as Foxconn, has announced the issuance of its 4th Unsecured Corporate Bonds in 2026, comprising three tranches with a combined aggregate value of NTD 14,000,000,000. All three tranches were issued on 11 November 2026 at par, carrying fixed annual coupon rates and full principal repayment upon maturity. The disclosure, made via RNS on 10 November 2026, signals Hon Hai's continued access to debt capital markets ahead of what investors may regard as a substantial refinancing and investment cycle.

Key Points

  • Hon Hai Precision Industry Co., Ltd. (HHPD)
  • Three unsecured bond tranches (A, B, and C) issued simultaneously on 11 November 2026, totalling NTD 14,000,000,000
  • Tranche A: NTD 1.9bn, 3-year tenor, 2.30% fixed rate; Tranche B: NTD 7.4bn, 5-year tenor, 2.35% fixed rate; Tranche C: NTD 4.7bn, 10-year tenor, 2.42% fixed rate
  • Investors may watch how Hon Hai deploys the proceeds and whether further bond issuances follow in the near term

Three-Tranche Structure Spans Maturities from 2029 to 2036

The bond issuance is structured across three distinct tranches to cover short, medium, and long-term funding horizons. Tranche A (code B644E5, short name "P15 Hon Hai 4A") carries a 3-year tenor maturing on 11 November 2029 and raises NTD 1,900,000,000 at a fixed annual coupon of 2.30%. Tranche B (code B644E6, "P15 Hon Hai 4B") is the largest in aggregate size at NTD 7,400,000,000, running for 5 years to 11 November 2031 at 2.35%. Tranche C (code B644E7, "P15 Hon Hai 4C") is the longest-dated at 10 years, maturing 11 November 2036, and raises NTD 4,700,000,000 at 2.42% annually. All three share the CFI Code DBFUFR and were issued at par with a face value of NTD 1,000,000 per bond.

Fixed-Rate, At-Par Pricing and Annual Simple Interest Payment Terms

All three tranches carry fixed coupon rates and were priced at par, meaning investors paid face value with no premium or discount at the point of issuance. Interest is paid once per year on a simple interest basis, calculated from the respective issuing date of 11 November 2026. Principal repayment across all three tranches is set at 100% upon maturity, offering bondholders full capital return at the end of each tenor. The fixed-rate structure provides Hon Hai with predictable financing costs, while investors receive defined annual income streams throughout the life of each bond.

Hon Hai's Scale and Sector Context Behind the NTD 14bn Raise

Hon Hai Precision Industry is one of the world's largest contract electronics manufacturers, providing assembly and manufacturing services for global technology brands. The company's ability to raise NTD 14,000,000,000 across three unsecured tranches simultaneously in domestic debt markets reflects its established credit profile within Taiwan's corporate bond market. The announcement did not disclose the specific use of proceeds. Investors may be watching whether the capital is directed towards capacity expansion, artificial intelligence infrastructure investment, or general corporate purposes, given Hon Hai's widely reported strategic focus on AI-related manufacturing.