Green Bond Fact Sheet

Nanjing Metro

Date: 18-May-2018

Issue date: 10-Jan-2018 Maturity date: 18-May-2028 Tenor: 10Issuer Name

Nanjing Metro

Amount Issued

CNY1.2bn(USD188m)

Country of risk

China

CBI Database

Included

Issuer Type1ABS

Bond Type

Chinese ABS

Green Bond Framework

N/A

Second party opinion

N/A

Certification Standard

N/A

Assurance report

Lianhe Equator

Certification Verifier

N/AGreen bond rating

N/A☐ Energy☐ Solar☐ Onshore wind
☐ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ Waste to energy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Buildings☐ Certified Buildings☐ HVAC systems☐ Energy performance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☒ Transport☐ Electric vehicles☐ Low emission vehicles☐ Bus rapid transit☐ Passenger trains☒ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewater treatment☐ Water storage☐ Storm water mgmt
☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Land use &agriculture☐ Afforestation/parks☐ FSC Forestry☐ FSC Cellulose & paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation &resilience☐ ICT☐ Industry: process

Issue details
ReportingCompany information

Nanjing Metro is the operator of the metro system in Nanjing, the capital of Jiangsu
Province. The system has ten lines and 173 stations running on 377km of track. The
total track length ranks it fourth in China, after Shanghai, Beijing and Guangzhou.

Firsts, records andcertifications
Proceeds description

The deal is made up of 11 tranches, totalling CNY1.2bn. The originator, Nanjing Metro
Resources Development Co., is wholly owned by Nanjing Metro and operates as aproperty developer and manager. The ABS is secured on rents and receivables fromcommercial properties along the metro lines and from shops and advertisements instations. All proceeds will be used to finance metro construction in Nanjing City.

Climate Bonds view

We are happy to see the first metro operator from mainland China using a land value
capture model to finance the metro projects. It follows Hong Kong’s MTR Rail +Property model where MTR receives exclusive property development rights aroundstations/lines and is able to finance rail and public finance projects by leasing or selling
the land at an enhanced value.

Underwriters

CIC

Deal comments
Credit Rating

The 10 senior tranches received an AAA rating from Lianhe Ratings

Pricing summary

Coupon rates range from 4.9% to 5.13%, marking the lowest among the same types of
ABS issued in China this year, according to the issuer.

Investors summary
1Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, nonfinancial corporate, sovereign