Huatai Financial Assists CYPC’ Issuance of Shanghai-London Stock Connect GDRs

On 29 September 2020, China Yangtze Power Co., Ltd. (“CYPC”) held the listing ceremony for its successful offering of Global Depository Receipts (“GDRs”) on London Stock Exchange under the "Shanghai-London Stock Connect" mechanism. The conditional trading and unconditional trading in the GDRs have commenced on 25 September and 30 September 2020, respectively.

Huatai Financial acted as the Joint Global Co-ordinator and Joint Bookrunner for the deal. CYPC issued approximately 74.19 million GDRs (including the partially exercised over-allotment GDRs) at an issue price of US$26.46 per GDR, raising a total amount of US$1.963 billion. The deal marked as the first GDR offering of Chinese industrial companies and the largest GDR offering in terms of base offering size under the "Shanghai-London Stock Connect" mechanism up to now.

In this deal, Huatai Financial as the lead bank has fully mobilized its experienced deal team and leveraged its strength and professionalism in GDR offering deals, successfully assisted CYPC in efficiently obtaining onshore regulatory approvals and launching the deal by introducing considerable amount of high-profile investors and precisely seizing the market window.

CYPC is the largest hydropower company in the world in terms of consolidated installed capacity of hydropower and the largest listed power company in the PRC in terms of market value as at 31 December 2019. As at 10 September 2020, CYPC owned and operated four hydropower projects located along the upper and midstream of the Yangtze River, namely the Three Gorges Project, the Gezhouba Project, the Xiluodu Project and the Xiangjiaba Project. As at 31 December 2019, the total installed capacity of CYPC’s four hydropower projects reached 45,495 MW and its total assets amounted to RMB332.7 billion. Revenue and net profit for the year 2019 recorded approximately RMB50 billion and 21.6 billion.