Everbright Financial Leasing brings inaugural green bond to LuxSE and LGX
Everbright Financial Leasing brings its inaugural RMB 3 billion green bond to the Luxembourg Stock Exchange (LuxSE) and Luxembourg Green Exchange (LGX), making it the first Chinese non-banking financial institution to bring an onshore green bond to the exchange.
The Luxembourg Stock Exchange (LuxSE) and Everbright Financial Leasing Co., Ltd. (Everbright Financial Leasing) are happy to announce the registration and display of Everbright Financial Leasing's inaugural green bond on LuxSE and the Luxembourg Green Exchange (LGX).
Successfully completing the book-building process for its 2025 green financial bond in China's interbank market on 25 February, with this listing, Everbright Financial Leasing has become the first Chinese non-banking financial institution to bring an onshore green bond to LuxSE and LGX.
A strong debut in sustainable finance
Worth a total amount of RMB 3 billion (equivalent to EUR 380 million), this inaugural green bond from Everbright Financial Leasing attracted enthusiastic participation from a wide range of institutional investors. The bond was oversubscribed 2.32 times, reflecting strong investor confidence in the company’s solid financial performance and its commitment to serving the real economy. The successful issuance of this green bond indicates that, Everbright Financial Leasing, under the guidance of China's "Carbon Peak and Carbon Neutrality" target, will continue to play a supporting role for the national green financial industry and make positive contributions to the transformation and upgrading of China's economic structure and high-quality development.
“We are delighted to welcome Everbright Financial Leasing and its inaugural green bond to the Luxembourg Stock Exchange and our leading platform for sustainable finance, the Luxembourg Green Exchange. A result of our strong partnerships with both China Everbright Bank and the Shanghai Clearing House, this issuance demonstrates Everbright Financial Leasing’s commitment to China’s sustainability goals. With these ambitious goals that the country has set for itself, we applaud Everbright Financial Leasing for this pioneering step and hope to see other non-banking financial institutions in China follow suit,” said Member of the Executive Committee and Director of International Capital Markets at LuxSE, Mr Arnaud Delestienne.
Everbright Financial Leasing is a subsidiary of China Everbright Bank, which in May 2023, signed a Memorandum of Understanding (MoU) with LuxSE to establish a framework of cooperation between the two institutions in the field of listing and trading of a broad range of financial instruments issued by Chinese entities, including sustainable securities, and joining forces to develop sustainable finance activities which contribute to China’s stated goal of reaching net zero emissions by 2060.
This MoU and the listing of Everbright Financial Leasing’s inaugural green bond were both facilitated by China Everbright Bank Luxembourg Branch.
This comes in addition to an MoU signed by LuxSE and Shanghai Clearing House (SHCH) in 2018 which resulting in the establishment of a Green Bond Information Channel to facilitate access to Chinese green bonds for the international investor community.
A testament of collaboration
The successful issuance of this green bond demonstrates Everbright Financial Leasing’s ongoing efforts to support China’s green finance industry in alignment with the country’s "carbon peak and carbon neutrality" goals.
The proceeds from the bond will be fully allocated to support green industry leasing projects.
Mr QU Liang, Chairman of Everbright Financial Leasing, commented: “We are pleased to enter into this cooperation with LuxSE, which serves as a pivotal nexus for driving cross-border collaboration. The RMB green bond marks an inaugural initiative to connect Chinese non-banking issuers and international investors, advancing the sustainable finance agenda in China's green values. This issuance is an opportunity to promote the cooperation between China and Luxembourg in the field of green finance".
"Shanghai Clearing House’s support for the successful listing of Everbright Financial Leasing’s inaugural green bond on the Luxembourg Stock Exchange marks another innovative breakthrough in cross-border financial infrastructure collaboration. It also demonstrates the proactive responsibility of China’s financial institutions in deeply engaging in green transformation and advancing the achievement of the 'Carbon Peak' and 'Carbon Neutrality' goals. Going forward, Shanghai Clearing House will continue to deepen cross-border cooperation among financial infrastructures, further optimize and enhance full lifecycle services for green bonds, and provide even safer and more efficient services for domestic and international issuers and investors. We remain committed to driving the high-quality development of green financial markets." said Deputy General Manager of Shanghai Clearing House, Mr Wang Weiqiang.
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