Shandong Gold Issues RMB2.035 Billion Green Dim Sum Bonds at 1.80%, a Recent Low for Industrial Issuers

Shandong Gold Group Co. , Ltd. successfully issued RMB2.035 billion in three-year fixed-rate senior unsecured green bonds through its offshore issuing vehicle on August 11. The bonds priced at 1.80%, narrowing 60 basis points from initial price guidance of 2.40%. Total subscription demand reached RMB21 billion, representing an oversubscription of approximately 10.3 times. The deal marks Shandong Gold's first green dim sum bond issuance and drew robust interest, with 108 investment institutions participating, of which central banks, official institutions and sovereign wealth funds accounted for 10%.

Since 2026, subscription demand in the offshore RMB bond primary market has remained elevated. In May, the Ministry of Finance's RMB6 billion green sovereign bond sale in Hong Kong drew 9.8 times and 11.0 times subscription for the three-year and five-year tranches respectively. Hefei Industry Investment Group's RMB1.83 billion dim sum bond issuance in late July achieved a final subscription multiple of over 15 times, with orders exceeding RMB10 billion within the first hour. On August 7, the USD/offshore RMB exchange rate fell to around 6.74, a new low since 2026. On August 3, five-year RMB government bond futures were listed in Hong Kong, further expanding the city's RMB risk management product suite.