05 Aug 2020
Everbright Water Issues First Tranche of Medium Term Notes
Singapore and Hong Kong, 5 August 2020 – China Everbright Water Limited ("Everbright Water" or the "Company", stock codes: U9E.SG and 1857.HK) (中国光大水务有限公司), an environmental protection company focusing on water environment management, is pleased to announce that the Company has recently received the notice of registration acceptance from the National Association of Financial Market Institutional Investors of the People's Republic of China, to issue medium term notes ("MTNs") in single or multiple tranches to institutional investors in the inter-bank bond market in the mainland China ("Institutional Investors"). The MTNs have a registered principal amount of RMB3 billion, with a validity period of two years from 24 April 2020. The Company has completed the issuance of the first tranche of MTNs ("First Tranche MTNs"). The First Tranche MTNs were fully subscribed for by the Institutional Investors and issued with a principal amount of RMB1 billion, a maturity period of 3 years, an interest rate of 3.60% and a subscription rate of 2.01 times. The proceeds from the MTNs issuance will be used to replenish working capital of the Company's subsidiaries.
The First Tranche MTNs and the Company (as the issuer of the First Tranche MTNs) had each been given a credit rating of "AAA" by Shanghai Brilliance Credit Rating & Investors Service Co., Ltd. Bank of China Limited and Guosen Securities Co., Ltd. act as the underwriters of the First Tranche MTNs issuance.
Following the issuance of the Company's first asset-backed securities in June 2020, the completion of the issuance of the First Tranche MTNs helps further diversify the financing channels and enrich the relevant experience of the Company. The issuance of the First Tranche MTNs will not only allow Everbright Water to replenish working capital, but also help optimise its financing structure and keep its financial costs within a reasonable range. Everbright Water will continue monitoring changes in market environment closely, and proceed to issue the remaining tranche(s) of MTNs according to the capital demands and market conditions. It will make efficient use of the proceeds to better facilitate the development of the Company.