Chongqing Longfor Development Co. Ltd. (“Longfor Development” or the “issuer”) successfully completed the issuance of 2017 NDRC green enterprise bonds phase I on February 21, 2017, and completed the issuance of phase II on March 9, 2017. CICC acted as Joint Lead Underwriter for the issuances.

The transaction is a green enterprise bond issued in two phases. The first phase includes two tranches: tranche I has an issuance size of RMB1.6 Bn, a maturity of 5 years and a coupon rate of 4.40%, with issuer’s coupon rate adjustment option and investors’ put option at the end of Year 3; tranche II has an issuance size of RMB1.44 Bn, a maturity of 7 years and a coupon rate of 4.67%, with issuer’s coupon rate adjustment option and investors’ put option at the end of Year 5. The second phase has an issuance size of RMB1.0 Bn, a maturity of 7 years and a coupon rate of 4.75%, with issuer’s coupon rate adjustment option and investors’ put option at the end of Year 5.This the first green enterprise bond issued by a real estate company, and the largest ever green enterprise bond.

Chongqing Longfor Development Co. Ltd. is the most important domestic business platform and component of the Hong Kong listed company Longfor Properties Co. Ltd. (0960.HK, “Longfor Properties”). CICC highly values Longfor Property as the leader in the industry, and kept frequent interaction with the management. The client was impressed by CICC’s deep understanding of the industry, expertise in the financing policies, and strong market influences. CICC was mandated a key role as the joint lead underwriter in this deal bases on the mutual trust built between the client and CICC.