Press Release

FCIB acted as the underwriter on the RMB 1 billion Renewable Enterprise Bond Public Offering for Beijing Capital Group Co., Ltd.

First Capital Investment Banking Co., Ltd (“FCIB”) acted as the underwriter for the RMB 1 billion renewable corporate bond issued by Beijing Capital Group Co., Ltd. (“the Issuer”) and successfully completed the issuance on December 19, 2019.

After years of development, the issuer has established 4 core industries: environmental protection, real estate, infrastructure and financial services, and owns 4 public companies and 1 listed enterprise. By the end of 2018, the issuer’s total assets exceeded RMB 320 billion, ranking among the top 500 companies in China for several consecutive years. The issuer is also the largest shareholder of the First Capital Securities Co., Ltd.

This bond is the first High-quality Entity Enterprise Bond issued by FCIB since the National Development and Reform Commission introduced this special bond variety. This variety provides a good channel for non-urban investment high-quality enterprises to finance through enterprise bonds. The project was accepted on September 25, 2019 and approved by the National Development and Reform Commission on November 15, 2019.

The DCM team communicated with sales team fully and focused on dealing with large Banks and Securities firms. The total of RMB 1 billion were successfully raised eventually. The final issuance interest rate of this bond is 3.99%, which is 10BP lower than the YTM of the existing Renewable Mid-term Note issued by the issuer. The low financial cost provides the Issuer with sufficient funds for business development and reduces debt ratio, and the issuance result is highly recognized by the Issuer, which fully reflects our good communication, coordination ability, strong ability in distribution and efficient project execution ability.