Hong Kong mandates banks for green bond deal - term sheet

The city's government has mandated Credit Agricole, HSBC, Citigroup and JPMorgan to work on the potential transaction

  
A Star Ferry boat crosses Victoria Harbour in front of a skyline of buildings during sunset. Hong Kong, China June 29, 2020.

A Star Ferry boat crosses Victoria Harbour in front of a skyline of buildings during sunset. Hong Kong, China June 29, 2020.

REUTERS/Tyrone Siu

HONG KONG: Hong Kong is testing the market's appetite for a U.S. dollar and euro-denominated green bond, according to a term sheet seen by Reuters on Monday.

The city's government has mandated Credit Agricole, HSBC, Citigroup and JPMorgan to work on the potential transaction, the term sheet showed.

A global investor call will be held Tuesday led by the Hong Kong Monetary Authority's (HKMA) deputy chief executive, Edmond Lau, and officials from the city's Financial Services and Treasury Bureau and environmental protection department, the term sheet said.

The Financial Services and Treasury Bureau and the HKMA did not immediately respond to a request for comment from Reuters.

The size and tenors of the green bond issuance has not yet been flagged to investors but the deal will be multi-tranche, according to the term sheet.

Hong Kong's government issued its first green bond in 2019 when it raised $1 billion in a five-year deal.

It raised $2.5 billion in a green deal in January this year with five, 10 and 30-year tenors.

(Reporting by Scott Murdoch in Hong Kong; Editing by Stephen Coates) ((Scott.Murdoch@thomsonreuters.com;))


More From Markets