Yichang Transportation Investment issues RMB1bn green bonds

Yichang Transportation Investment successfully issued RMB1 billion of green bonds with a coupon rate of 5.1%.
On January 15, RMB1 billion yuan of green bonds were successfully issued by Yichang Transportation Investment with a coupon rate of 5.1%.

Yichang Transportation Investment successfully issued RMB1 billion of green bonds with a coupon rate of 5.1%.

On January 15, RMB1 billion yuan of green bonds were successfully issued by Yichang Transportation Investment with a coupon rate of 5.1%.

This is the fourth bond supporting the protection of Yangtze River issued in Yichang since the first green bond of the same kind was issued in 2018. It is also the country’s first special green bond for Yangtze River protection in the field of transportation and the country’s first special green bond for multimodal transport projects.

About 500 million yuan of the capital raised by the bond is for the World Bank loan for the infrastructure project of the Three Gorges Modern Logistics Center in Yichang City, Hubei Province, and another 500 million yuan for enhancing its working capital.

The bond has a maturity period of 10 years, in the form of fixed interest rate. The bonds will bear interest at a fixed rate per annum on a simple interest basis. The lead underwriter is Kaiyuan Securities.

The interest rate of this bond issue is 5.1%, which is the lowest interest rate for non-public issuance of corporate bonds by state-owned enterprises in prefecture-level cities, and the lowest interest rate for green bonds issued by state-owned enterprises in prefecture-level cities across the country in the past three years.

According to Yichang Municipal Development and Reform Commission, the 750 million yuan green bond of Zhijiang State-owned Assets Management Center was approved on December 27, 2019, and preparations are being made for the issuance.

The issuance is expected to be completed in early February.

Yidu Guotong Investment Development’s RMB1 billion project revenue bonds have completed the relevant preparations for issuance. After approval, the issuance will be launched quickly.

The RMB2 billion green bond of Yichang Xingfa Group has been approved by the Joint Review Committee on January 15th, pending for the next approval.

It is reported that in 2020, Yichang City plans to work on five corporate bonds with a total size of 7 billion yuan.

It mainly includes the corporate bonds of the Construction Investment Group, the special bonds for the integration and development of rural industries in Tulaohan, the Xinyuan corporate bonds of Dangyang City, and the income bonds of the Sanjiang healthy City maintenance project in Yidu, and strive to issue corporate bonds of more than 3 billion yuan.

Disclaimer: This is an article created by Michael Liang for Chinasdg.org. You can find the original article here: https://chinasdg.org/2020/06/05/yichang-transportation-investment-issues-rmb1bn-green-bonds/.

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