Yongxing Co., Ltd. Successfully Issues the First Tranche of 800 Million Yuan Green Sci-Tech Innovation Bonds

News Report (Reporter Li Wenshan, Intern Reporter Zhang Meina)

Recently, Guangzhou HuanTou Yongxing Group Co., Ltd. (hereinafter referred to as “Yongxing Co.”) announced that the company successfully issued a public green technology innovation corporate bond (climate theme) (Phase 1) to professional investors. This is the first bond in China that combines the elements of “tech innovation, green development, and climate theme.” It not only marks a solid step forward in the integration of green finance and technological innovation in China but also vividly demonstrates Yongxing Co.'s commitment to achieving the national “dual carbon” goals and deepening green development. It sets a new benchmark for industry development.

China Chengxin International Credit Rating Co., Ltd. assigned a AAA credit rating to Yongxing Co.'s bond issuance, with a stable outlook. The issuance scale is 800 million yuan, with a 3-year term, and a coupon rate as low as 1.75%. The subscription multiple reached 4.3 times. This achievement directly reflects high confidence from institutional investors in Yongxing Co.'s creditworthiness and debt repayment ability, and it profoundly indicates market recognition of the company’s core value and future prospects.

Regarding the use of raised funds, after deducting issuance costs, the entire 800 million yuan will be used to repay interest-bearing debt related to waste resource utilization and harmless treatment projects. These involve 12 green projects in Guangzhou, Xinzhou, and other locations, covering areas such as waste incineration power generation and kitchen waste treatment. All projects meet the requirements of the “Green Finance Support Project Directory” and focus on green innovation projects with energy-saving, carbon reduction, and technological content. They are expected to reduce carbon dioxide emissions by 3.8653 million tons annually, substitute 318,500 tons of standard coal in fossil energy annually, and handle 4.6283 million tons of solid waste per year. While generating economic benefits, these projects also demonstrate significant environmental and social value.

Financial data shows that Yongxing Co. is currently operating well. As of the end of September 2025, the company’s consolidated operating revenue was 3.25 billion yuan, with a net profit attributable to the parent of 746 million yuan, and a debt-to-asset ratio of 57.27%, indicating healthy financial health. The issuance of the 800 million yuan bond in Phase 1, with an estimated interest rate spread of 100 basis points, could reduce the company’s financing costs by over 20 million yuan over three years. After completing Phase 1, the company still has a registered quota of 2.2 billion yuan, which can be issued in installments within the registration validity period as needed. This will further optimize the company’s financial structure, provide stable medium- and long-term funding for future business development, and enhance the company’s ability to face market challenges, maintain steady growth in core business, and further expand market share, profitability, and core competitiveness.

Market analysis suggests that in the era where green development has become a global consensus and technological innovation drives industrial upgrading, Yongxing Co., benefiting from multiple policy supports, is highly aligned with national strategic directions. Its development prospects are broad, and the company’s long-term investment value is worth attention.

(Editor: Zhang Wei)