Everbright Greentech Successfully Issues the Nation’s First Green Medium-Term notes relating to carbon neutrality and rural vitalisation

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China Everbright Greentech Limited (“Everbright Greentech” or the “Company”) (Stock code: 1257.HK) is pleased to announce that the Company has successfully issued the nation’s first green medium-term notes relating to carbon neutrality and rural vitalisation (“Carbon-neutral and Rural Vitalisation MTN”). The Carbon-neutral and Rural Vitalisation MTN, with an issue size of RMB1 billion, a maturity period of “3+2” years and a coupon rate of 3.5% per annum, have been fully subscribed by the qualified institutional investors in Hong Kong and Mainland China, with an oversubscription of 2.25 times. The carbon-neutral and rural vitalisation MTN received an AAA credit rating from China Lianhe Credit Rating Co., Ltd.

The successful issuance of the carbon-neutral and rural vitalisation MTN demonstrates Everbright Greentech’s fulfillment and support of China Everbright Group’s action plan to promote “Carbon Emissions Peak” and “Carbon Neutrality” to accelerate the green and low-carbon transition, as well as the group’s rural revitalisation program, which involves “Implementing the Four Major Plans” and “Building the Eight Hundred Projects”. Proceeds from the issuance will be used for the repayment of project loans of relevant agricultural and forestry biomass projects. According to the assessment by China Lianhe Equator Environmental Impact Assessment Co. Ltd, the agricultural and forestry biomass projects, funded and invested through the Carbon-neutral and Rural Vitalisation MTN, are all green and low-carbon industrial projects, which not only are beneficial to the environment due to their carbon emission reduction nature, but also play a vital role and have significant and far-reaching impact on the improvement of living quality and industrial development in the rural areas where the
projects are located.

In May 2020, Everbright Greentech received the receipt of Notice of Registration Acceptance issued by the National Association of Financial Market Institutional Investors of the People’s Republic of China (“NAFMII”) for the issue of medium-term notes in an aggregate principal amount of not more than RMB3.5 billion. The first tranche of medium-term notes with a principal amount of RMB1 billion was issued on 12 June 2020, with a maturity period of “3+2” years and a coupon rate of 3.68%. The proceeds were used for general working capital and loan repayment. The Carbon-neutral and Rural Vitalisation MTN is the second tranche of the medium-term notes. Everbright Securities Company
Limited acted as the lead underwriter and bookrunner, Industrial and Commercial Bank of China Limited acted as the joint lead underwriter.

Mr. Qian Xiaodong, CEO of Everbright Greentech, said, “NAFMII has issued rural revitalisation bonds and carbon-neutrality bonds successively this year to support China’s carbon neutrality goal and rural revitalisation strategy, which have injected impetus to the green bond market. As an environmental protection enterprise with business mainly based in counties, Everbright Greentech has made
tremendous contributions to ecological and environmental management and targeted poverty alleviation in China’srural areas during the 13th Five-year Plan period, while continuing to help reduce carbon emissions. The issuance and oversubscription of the medium-term notes mark a new step made by the Company to raise fund through green bonds, as well as reflect the market’s recognition of and confidence in the Company’s overall strength. Going forward, Everbright Greentech will effectively utilise the funds raised to capitalise on opportunities arising from the green economy, and continue to make full use of different fundraising instruments in the bond market to facilitate the issuance of the unissued bonds, with a view to providing capital for the Company’s sustainable development in the long run.”

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