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Green Bond

 

Swire Properties’ US$500 million Green Bond


We issued our first green bond in January 2018, raising US$500 million at a coupon rate of 3.5%, due 2028. The 10-year green bond was issued under the Company’s US$4,000,000,000 Medium Term Note Programme, and has been rated A2 by Moody’s and A by Fitch.


Part of the proceeds will be used to finance the Company’s newest, Grade-A office development, One Taikoo Place, a core component of its HK$15 billion Taikoo Place redevelopment project.


Swire Properties’ 10-year green bond is the first in Hong Kong to obtain the pre-issuance stage certification under the newly launched Green Finance Certification Scheme by the Hong Kong Quality Assurance Agency.


Green Bond Framework


For the purpose of issuing green bond(s), the Company has developed a Green Bond Framework which addresses the four key pillars of the Green Bond Principles:

1. Use of Proceeds;

2. Process for project evaluation and selection;

3. Management of proceeds; and

4. Reporting.


The net proceeds of the green bond(s) will be used to fund or refinance the Company’s new or existing green projects that relate to green building development, energy efficiency, renewable energy, sustainable water and wastewater management, or climate change adaptation.


The framework was also reviewed by Sustainalytics, an independent environmental, social and governance research, ratings and analysis firm. Sustainalytics has also provided a second-party opinion on our framework.


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