Han Kun Law Offices LLP ("Han Kun Hong Kong"), acting as the international legal counsel to the Joint Lead Managers and the Trustee, advised Fujian Zhanglong Group Co., Ltd. ("Fujian Zhanglong Group") on the successful issuance of the RMB3,056 million five-year offshore sustainable bonds (the “Bonds”). The coupon rate of the 5-year Bonds is 2.35%.
This issuance set a new record low for offshore Renminbi bond coupon rates among Fujian provincial state-owned enterprises, attracting broad attention and strong support from international investors, achieving 6x oversubscription, with the final coupon rate significantly tightened by 75 basis points from the initial price guidance. Fujian Zhanglong Group has been assigned a corporate credit rating of “BBB-” with a stable outlook by Fitch Ratings Ltd and “A” with a stable outlook by Lianhe Ratings Global Limited.
The Bonds issued under the Fujian Zhanglong Group’s Sustainable Finance Framework (the “Framework”) will be aligned with voluntary guidelines in Green Bond Principles (“GBP”) 2025, Guide for Bonds to Finance the Sustainable Blue Economy, Social Bond Principles (“SBP”) 2025, and Sustainability Bond Guidelines (“SBG”) 2021 by the International Capital Markets Association (“ICMA”), etc. Lianhe Green Development Company Limited has issued an independent opinion on the Framework.
