Press Release

Tangshan Jidong Cement Co., Ltd. 1.5 billion corporate bond (2019 Tranche II)

First Capital Investment Banking Co., Ltd (“FCIB”) acted as the underwriter for the RMB 1.5 billion corporate bond (2019 Tranche II) issued by Tangshan Jidong Cement Co., Ltd. (“the Issuer”) and successfully completed the issuance on October 25, 2019.

The Issuer, the largest manufacturer of cement in northern China, ranks the third among domestic cement manufacturers, and it is one of the 12 major cement enterprises making structural adjustment with government’s support.

The DCM team communicated with sales fully and set a reasonable term structure that meets the needs of market investors. The total of RMB 1.5 billion were successfully raised eventually. In this bond issue, FCIB focused on banks and insurance institutions, striving for the best issuing results for the Issuer, and finally received 3 times more subscriptions, which laid a good foundation for lowering the issuing interest rate. The final issuance interest rate of this bond is 4.20%, which is 77bp lower than the last corporate bond issued by the Issuer. The low financial cost provides the Issuer with sufficient funds for business development, and the issuance result is highly recognized by the Issuer, which fully reflects our good communication and coordination ability and efficient project execution ability. This bond attracted the intention of all kinds of large institutions to subscribe, significantly improving the Issuer’s market recognition.

The team highly appreciates all the supports for the deal, including those from the management and other colleagues of FCIB.