China Mengniu Dairy to issue sustainability bonds totaling 3.5 billion yuan

China Mengniu Dairy (2319) has announced the issuance of two sustainability bonds totaling 3.5 billion yuan (HK$3.84 billion).

The Chinese dairy giant will issue 2 billion yuan bonds due 2030 with an interest rate of 2 percent as well as 1.5 billion yuan bonds due 2035 that carries a rate of 2.3 percent, according to a filing on Thursday.

The company intends to use the net proceeds from the issuance for refinancing its existing debts and allocating to certain green categories and eligible social categories set out in the sustainable finance framework.