DeHeng Advised Shandong Hi-Speed Group

on Setting up USD 2 Billion Mid-term Notes Program

and Issuing First USD 800 Million Keepwell Bonds

2020-06-08

Coastal Emerald Limited, an overseas subsidiary of Shandong Hi-Speed Group, has set up a mid-term notes program to raise USD 2 billion and issued USD 800 million bonds on June 3, 2020, with a term of 363 days and a coupon rate at 3.80%. The bond is unconditionally and irrevocably guaranteed by the listed company Shandong Hi-Speed Financial Group Limited (412.HK), with keepwell, liquidity support and EIPU credit enhancement from Shandong Hi-Speed Group. 

The issuer Coastal Emerald Limited is a wholly-owned subsidiary set up in the British Virgin Islands by Shandong Hi-Speed Financial Group whose 42.78% shares are held by Shandong Hi-Speed Group.

ICBC and Standard Chartered Bank served as joint global coordinators, joint lead managers and joint book runners. Other joint lead managers and joint book runners included ABC International, Bank of China, Bank of Communications, CCB International, China CITIC Bank (International), China Merchants Bank, China Merchants Securities (Hong Kong), China Minsheng Bank, Citibank, CITIC CLSA Securities, DBS Bank, Everbright Sun Hung Kai, GF Securities, Huatai Financial Holdings (Hong Kong), Mizuho Securities, Nomura, Pudong Development Bank, Soochow Securities International, Bank of East Asia, Yuexiu Securities, and Zhongtai International.

As the Chinese legal adviser for the issuer, the DeHeng team was headed by associateCui Huanpeng, with primary support from Shi Hanbo, Zhang Li and Zhang Jianwen. They worked closely with the issuer, underwriters, and overseas legal adviser, and provided comprehensive, professional, efficient and high-quality legal services for the issuance.