ePrime Northbound Primary Service Supports the Crossborder Subscription of China Development Bank Infrastructure-Themed Financial Bonds
20 March 2023
ePrime Northbound Primary Service facilitated offshore investors’ crossborder subscription of China Development Bank’s RMB 3 billion 20-year infrastructure-themed financial bonds issued on 16 March. The deal was priced at a 3.29% yield with a subscription multiple of 10.33. In addition to providing a seamless digital subscription process to offshore investors, ePrime served as an interconnector between onshore and offshore capital markets by providing the issuance details to offshore investors before the deal went live.
The capital raised from this issuance will be used in the project to channel water from the Yangtze River to the Hanjiang River as part of the middle route of the South-to-North Water Diversion project and other key water infrastructure projects.
A representative from CDB’s Treasury and Financial Market Department commented that the recent issuance of 20-year infrastructure-themed financial bonds aims to provide long-term and stable financial support for water infrastructure projects by actively guiding social capital via market-oriented capital-raising methods. Moving forward, CDB will utilize development financing by exploring thematic bond issuances around the five key areas of infrastructure and continuing to welcome offshore investors’ crossborder subscriptions via iDeal and ePrime Northbound Primary Service.
A representative of China Guangfa Bank, the onshore underwriter who facilitated the crossborder subscription via iDeal, commented, “Through the usage of ePrime, offshore investors are alleviated of the tedious signing of distribution agreements offline, thereby greatly reducing the approval time of both parties and increasing the efficiency of underwriting and allocation during bond issuances.”
Mr. Tony Wang, General Manager of BCCL, commented, “This issuance addresses two national concerns, i.e., the country’s South-Flood North-Drought problem and the water resource carrying capacity. As a close collaborator of CDB, we are pleased to provide offshore investors with greater subscription convenience. In the future, we look forward to working alongside CDB in attracting more offshore investors into the primary market.”
In collaboration with CFETS and launched in October 2020, ePrime is an electronic solution for the primary bond market that spans across issuers, underwriters and investors specialized in the China cross-border workflow. It has two components to cater for issuance and subscription applications: ePrime Issuance Service and ePrime Northbound Primary Service.
ePrime Northbound Primary Service allows international investors to participate in the Northbound subscription of CIBM new issuances with onshore underwriters through the connectivity between ePrime and iDeal. It supports the crossborder subscription of various types of bonds, such as CGBs, PFBs, green financial bonds, MTNs, CP/SCPs etc, with 49 international investors onboarded.
Please contact us at eprime@chinabondconnect.com / (852) 2327 0398 for enquiries.
The capital raised from this issuance will be used in the project to channel water from the Yangtze River to the Hanjiang River as part of the middle route of the South-to-North Water Diversion project and other key water infrastructure projects.
A representative from CDB’s Treasury and Financial Market Department commented that the recent issuance of 20-year infrastructure-themed financial bonds aims to provide long-term and stable financial support for water infrastructure projects by actively guiding social capital via market-oriented capital-raising methods. Moving forward, CDB will utilize development financing by exploring thematic bond issuances around the five key areas of infrastructure and continuing to welcome offshore investors’ crossborder subscriptions via iDeal and ePrime Northbound Primary Service.
A representative of China Guangfa Bank, the onshore underwriter who facilitated the crossborder subscription via iDeal, commented, “Through the usage of ePrime, offshore investors are alleviated of the tedious signing of distribution agreements offline, thereby greatly reducing the approval time of both parties and increasing the efficiency of underwriting and allocation during bond issuances.”
Mr. Tony Wang, General Manager of BCCL, commented, “This issuance addresses two national concerns, i.e., the country’s South-Flood North-Drought problem and the water resource carrying capacity. As a close collaborator of CDB, we are pleased to provide offshore investors with greater subscription convenience. In the future, we look forward to working alongside CDB in attracting more offshore investors into the primary market.”
In collaboration with CFETS and launched in October 2020, ePrime is an electronic solution for the primary bond market that spans across issuers, underwriters and investors specialized in the China cross-border workflow. It has two components to cater for issuance and subscription applications: ePrime Issuance Service and ePrime Northbound Primary Service.
ePrime Northbound Primary Service allows international investors to participate in the Northbound subscription of CIBM new issuances with onshore underwriters through the connectivity between ePrime and iDeal. It supports the crossborder subscription of various types of bonds, such as CGBs, PFBs, green financial bonds, MTNs, CP/SCPs etc, with 49 international investors onboarded.
Please contact us at eprime@chinabondconnect.com / (852) 2327 0398 for enquiries.
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Disclaimer: This document is prepared by Bond Connect Company Limited and is for general information purposes only. It should not be used as a substitute for investment, accounting, tax, legal or other professional advice. It is not directed at, nor is it intended for distribution to or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to the applicable law, regulation or regulatory requirement, or which would subject us Bond Connect Company Limited, or any of our affiliates, to any licensing or regulatory requirement in such jurisdiction or country. Neither we nor any of our affiliates (i) guarantee the accuracy, validity, timeliness, completeness or correctness of any such information or data and (ii) accept any responsibility in that connection, or any liability for any direct or indirect loss or damage arising from the use of or reliance on any such information or data.
This document does not constitute a prospectus, an offer or an invitation to subscribe any securities or bonds, or a recommendation in relation to any securities or bonds. Investors should note investment involves risk and past performance is not indicative of future results. Investors should refer to the offering circulars of the bonds for further details including risk factors, in particular those associated with investment in emerging markets.
Disclaimer: This document is prepared by Bond Connect Company Limited and is for general information purposes only. It should not be used as a substitute for investment, accounting, tax, legal or other professional advice. It is not directed at, nor is it intended for distribution to or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to the applicable law, regulation or regulatory requirement, or which would subject us Bond Connect Company Limited, or any of our affiliates, to any licensing or regulatory requirement in such jurisdiction or country. Neither we nor any of our affiliates (i) guarantee the accuracy, validity, timeliness, completeness or correctness of any such information or data and (ii) accept any responsibility in that connection, or any liability for any direct or indirect loss or damage arising from the use of or reliance on any such information or data.
This document does not constitute a prospectus, an offer or an invitation to subscribe any securities or bonds, or a recommendation in relation to any securities or bonds. Investors should note investment involves risk and past performance is not indicative of future results. Investors should refer to the offering circulars of the bonds for further details including risk factors, in particular those associated with investment in emerging markets.