Qingdao Metro Group Co., Ltd. (hereinafter referred to as "Qingdao Metro") recently successfully issued the first phase of its 2021 green ultra-short bonds (carbon neutral bonds) (hereinafter referred to as "this issuance"). The amount raised in this issuance was RMB 750 million, with a term of 180 days and a coupon rate of 2.4%, which hit a new record low for period bonds of the same maturity in Shandong Province. This was the first successful issuance of carbon neutral bonds in Shandong Province. After two months, Qingdao Metro has again issued carbon neutral bonds, successfully combining "green finance" and rail transit.
Qingdao Metro was established in 2012. It is a large state-owned enterprise affiliated with the Qingdao Municipal Government. As the sole entity in the investment and construction of Qingdao’s rail system, it is responsible for the planning, investment and financing, bidding and tendering, construction, resource development and operation of all rail transit engineering projects in Qingdao. Its business sectors include subway operation, real estate, leasing and advertising. Qingdao Metro adheres to sustainable development and promotes the construction of green rail transit systems. It actively responds to national policies, and incorporates "carbon peaking and carbon neutrality" into the group’s overall strategy for sustainable development. Qingdao Metro, closely combined the construction and operation of metro with the construction of ecological civilization, and is committed to providing a more scientific, greener, safer and more convenient ways to travel.
JunHe acted again as the issuer's lawyer in this offering and provided a series of legal services such as due diligence and the issuance of legal opinions, which effectively promoted the progress of the project. Under a very tight schedule, JunHe’s team communicated effectively with the other intermediaries and put forward solutions to the legal issues involved in the project. With relatively few previous issuances of carbon neutral bonds, JunHe’s team cooperated with the other intermediaries and adapted some processes before the issuance, which played an important role in the successful completion of the project. JunHe's meticulous, professionalism and expertise was highly recognized by the issuers and the other intermediaries.
This project was led by Partner Mr. LIU, Xuezheng.