New Issue: Hubei United prices $300 million 3.1% green bonds due 2025 at par

By William Gullotti

Buffalo, N.Y., March 7 – China’s Hubei United Development Investment Group Co., Ltd. announced that it sold $300 million of 3.1% green bonds due 2025 (Baa2) at par, according to a listing notice with an appended offering circular on Monday.

The bonds are only callable for taxation reasons at par plus interest. Bondholders will be able to exercise put options at 101 if a change-of-control event occurs or at par in the case of a registration event.

China International Capital Corp. and China Citic Bank International are the joint global coordinators, joint lead managers and joint bookrunners for the Regulation S offering.

Also serving as joint lead managers and joint bookrunners are Bank of China, China PA Securities (Hong Kong) Co., Ltd., Industrial Bank Co., Ltd., Hong Kong Branch, China Zheshang Bank Co., Ltd. (Hong Kong Branch), Luso Bank Ltd., Bank of Communications, Shanghai Pudong Development Bank Hong Kong Branch, China Minsheng Banking Corp., Ltd., Hong Kong Branch, CMB Wing Lung Bank Ltd., CEB International, CLSA and Shenwan Hongyuan (H.K.).

Proceeds from the offering will be used to finance and replenish working capital of eligible green projects.

Listing for the green bonds is expected on the Hong Kong Exchange effective March 7.

The issuer’s business coverage, centered on infrastructure construction projects in the Wuhan Metropolitan Area, encompasses the entire development chain from urban development, transportation business, trading and financial services.

Issuer:	Hubei United Development Investment Group Co., Ltd.
Amount:	$300 million
Issue:	Green bonds
Maturity:	March 4, 2025
Bookrunners:	China International Capital Corp., China Citic Bank International, Bank of China, China PA Securities (Hong Kong) Co., Ltd., Industrial Bank Co., Ltd., Hong Kong Branch, China Zheshang Bank Co., Ltd. (Hong Kong Branch), Luso Bank Ltd., Bank of Communications, Shanghai Pudong Development Bank Hong Kong Branch, China Minsheng Banking Corp., Ltd., Hong Kong Branch, CMB Wing Lung Bank Ltd., CEB International, CLSA and Shenwan Hongyuan (H.K.)
Counsel to issuer:	King & Wood Mallesons (England), East & Concord Partners (China)
Counsel to underwriters:	Allen & Overy (England), Dentons Law Offices, LLP (Wuhan) (China)
Coupon:	3.1%
Price:	Par
Yield:	3.1%
Call:	In whole, but not in part, for taxation reasons only at par plus interest
Change of control:	At 101 plus interest
Registration event:	At par plus interest
Pricing date:	Feb. 25
Issue date:	March 4
Listing date:	March 7
Rating:	Moody’s: Baa2
Distribution:	Regulation S
ISIN:	XS2418788308

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