China launches US$599 million green bond sale, term sheet shows
China's Ministry of Finance launched a 4 billion yuan (US$599 million) green bond sale, split into three and five-year tranches. Final price guidance was tightened from initial indications, with combined orders exceeding 59 billion yuan. Proceeds will finance green expenditures under China's soverei
China's Ministry of Finance has launched a 4 billion yuan (US$599 million) green bond sale, split equally between three and five-year tranches, according to a term sheet seen on Tuesday 10 November.
Final price guidance was 1.40 per cent for 2 billion yuan of three-year bonds due 16 November 2029, and 1.50 per cent for 2 billion yuan of five-year bonds due 16 November 2031. The guidance was tightened from initial indications of around 1.80 per cent for the three-year tranche and 1.90 per cent for the five-year tranche.
Combined orders exceeded 59 billion yuan, including 22.34 billion yuan of interest from the joint lead managers, the term sheet showed. Proceeds will be used to finance or refinance eligible green expenditures in China's fiscal budget under the country's sovereign green bond framework.