Linklaters has acted as the international legal advisor of the Ministry of Finance of the People’s Republic of China (MOF) on its offshore issuance of RMB 6bn sovereign green bonds in Hong Kong SAR. This marks the Chinese central government’s first-ever sovereign green bond issuance in Hong Kong.
The issuance comprised two tranches, including three-year and five-year bonds with a coupon rate of 1.42% and 1.56% respectively, each in RMB 3bn. Both tranches have been listed on The Stock Exchange of Hong Kong Limited and are cleared through the Central Moneymarkets Unit in Hong Kong.
The transaction saw strong demand from a diverse range of international investors across various regions and sectors, with total subscriptions reaching RMB 62.4bn, representing 10.4 times the issue size, reflecting the international market’s confidence in China’s sovereign credit and green and low-carbon development.
The Linklaters team was led by partner and Chair of Asia William Liu and capital markets partner Min Fang, with support from Youming Wu and Yanting Sun.
