Toucan’s Post

Proposing to use over 10,600 trillion to ‘rescue’ loss-making BOT Divide into 3 “disease” groups According to information from the Ministry of Transport, basically, the current difficulties and obstacles mainly focus on projects implemented before 2015. These are projects that have been completed and put into operation but have not been charged fees, or cannot charge fees due to opposition from residents or projects that have been charged fees but the actual revenue is less than 30% compared to the financial plan of the contract… The financial plan is broken, Thai Ha BOT investor wants to return the project. In addition, some BOT projects are facing difficulties in mobilizing credit capital (such as the BOT project of building the coastal road in Hai Phong); difficulty in arranging state capital participation, land clearance, high and fluctuating interest rates, the ratio of state budget capital participation facing difficulties in attracting investors; there is no specific guidance for PPP projects being implemented, which have to stop implementation and switch to investment with state budget… To solve long-standing difficulties, the Ministry of Transport proposed that the government find solutions to remove obstacles for 8 BOT projects in 3 groups. Specifically, the first group is to amend the contract, supplement the budget to support 2 projects with decreased revenue and no recovery capability, with a total capital needs of VND 1,557 billion. “Using the budget to repurchase BOT projects will set a bad precedent for investors to continue implementing ineffective projects, shifting responsibilities to the State. The government needs to carefully consider this proposal, even if necessary, it needs to accept the pain once. In the event that the repurchase decision is implemented, the Ministry of Transport needs to explain and ensure that the projects will be effectively managed and operated to avoid further losses in the future,” said Mr. Le Thanh Van – Standing Member of the Finance and Budget Committee of the National Assembly. Mr. Le Thanh Van – Standing Member of the Finance and Budget Committee of the National Assembly Specifically, the Ministry of Transport proposed to supplement VND 522 billion for the Vietnam Construction BOT project of building the Viet Tri – Ba Vi bridge (Van Lang bridge). This project has a total investment amount that has been audited and settled at VND 1,088 billion. The expected payback period is about 22 years and the investor has agreed to reduce 50% of the profit on owned capital. For the BOT Investment Project of Building the Thai Ha Bridge across the Red River (connecting Thai Binh and Ha Nam provinces with the Cau Gie – Ninh Binh Expressway), the Ministry of Transport proposes to supplement VND 1,024 billion for support, with an expected payback period of about 25 years. The second group proposed by the Ministry of Transport is to adjust the state support mechanism. This solution applies t...

💧💰🇺🇸 State of Washington set to approve 50 wastewater projects worth $327 million in grants, low interest loans, and forgivable loans. #water #waterscarcity #watercrisis #tech #watertech #startup #innovation #future #sustainabilityreporting  #environment #technology #investment #capital #research #unitednations #climatechange

Thames Water: B and A tranches are both at risk of taking total or significant writedowns. Given the size of under investment, the question for Ofwat is how much equity is required to maintain leverage around the 55% target level.

How institutional investors can play an important role in promoting sustainable infrastructure Institutional investors have been playing an increasingly important role in the financing of infrastructure for some time now. Therefore, it is only logical that they also make a significant contribution to the sustainability transformation. In particular, the provision of debt capital in the infrastructure sector can play a decisive role in supporting or even shaping this transformation. By Benjamin Walter, Senior Portfolio Manager, Infrastructure Debt at Allianz Global Investors #TransformingInfrastructure #Infrastructure #InfrastructureDebt #Institutional #investments #PrivateMarkets #transformation #opportunity #energytransition #investors

Ince & Co acted for Chengdu Xingjin Construction Development and Investment Group Co., Ltd. (the “Issuer”) on its successful issuance of CNY$2.205 billion 4.2% unsecured offshore bonds (the “Bonds”). The Bonds were listed on ChongWa (Macao) Financial Asset Exchange CO., Ltd. (MOX) on 24 June 2024, with the rating of BBBg+, interest rate of 4.2% and to be due in 2027. The Issuer and its subsidiaries are major infrastructure construction platform within Jinjiang District of Chengdu and wholly owned by the State-owned Assets Supervision and Administration Commission of Chengdu City Jinjiang District Government (成都市锦江区国有资产监督管理局). The group’s major business includes infrastructure and land development, property sales and property leasing in the district. The bonds set records for "the lowest coupon rate for an offshore Renminbi bond issuance in the central and western regions (中西部地区离岸人民币债信用发行票面利率最低纪录)", "the largest offshore Renminbi bond issuance in China since the beginning of the year (年初以来全国全口径离岸人民币债信用发行规模最大纪录)" and "the largest offshore Renminbi bond issuance by a county-level enterprise in China in the history (全国区县级企业离岸人民币债信用发行历史规模最大纪录)". We acted as the international lawyers of the Issuer in the issuance of the Bonds and assisted the Issuer in drafting the Offering Circular, applying for listing approval from ChongWa (Macao) Financial Asset Exchange CO., Ltd. and assisting the Issuer in reviewing other issuance and transaction documents. We successfully assisted the Issuer in the issuance and listing of the Bonds within the scheduled timeline. The bond issuance project involved many parties. Wilson Securities Limited, CLSA Limited, Essence International Securities (Hong Kong) Limited, Guolian Securities International Capital Co., Limited, Hua Xia Bank Co., Limited Hong Kong Branch, Guosen Securities (HK) Capital Company Limited, BOSC International Securities Limited and CEB International Capital Corporation Limited acted as the joint global coordinators, the joint lead managers and joint bookrunners. China Galaxy International Securities (Hong Kong) Co., Limited, Industrial Bank Co., Ltd. Hong Kong Branch, China International Capital Corporation Hong Kong Securities Limited, China CITIC Bank International Limited, CNCB (Hong Kong) Capital Limited, China Zheshang Bank Co., Ltd. (Hong Kong Branch), Donghai International Securities (Hong Kong) Limited, Shanghai Pudong Development Bank Co., Ltd., Hong Kong Branch, SPDB International Capital Limited and Shenwan Hongyuan Securities (H.K.) Limited acted as the joint lead managers and joint bookrunners. Our team was led by our Managing Partner Mr. Eric Lui, supported by team members including Managing Associate Mr. Kevin Woo, Consultant Ms. Crystal Wan, Associate Ms. Selina Wu and Trainee Solicitor Mr. Raymond WONG.

We have signed a USD 75 million sustainability-linked loan with Skanska! ✅ The interest rate margin on the loan is linked to Skanska’s climate targets in reducing CO2 emissions in its own construction activities, as well as decreasing CO2 emissions from the use of buildings developed and sold by Skanska over the buildings’ lifetime. 💬“Linking financing to sustainability objectives effectively supports Skanska in reaching its ambitious climate goals and the efforts to decarbonise the built environment. Moving forward, scaling these solutions will be critical for driving the industry transformation required for net-zero building and living,” says André Küüsvek, President and CEO of the Nordic Investment Bank. Read more: https://lnkd.in/dSH4mqk3 Nicolas Audibert #sustainablefinance #transitionfinance

Happy that we managed to close this important loan with Skanska, which means that NIB is supporting Skanska in its ambition to significantly reduce C02 emissions in own construction activities and in buildings built by Skanska over their lifetime. The climate impact is significant as, according to the International Energy Agency (IEA), built environment accounts for about 40% of global energy related carbon emissions and the operations of buildings accounts for operation of buildings accounts for 30% of global final energy consumption. #Skanska, #NIB, #sustainability, #greenfinance, #constructionindustry, #greenbuildings, #sustainablefinance, #sustainablebusiness, #SLL

This $1.2 Trillion Investment Is Transforming America (And Making Investors Rich) https://lnkd.in/enmc4D2d $STRL $GLDD #InfrastructureAct #Infrastructure #Construction #Dredging #Transportation #Funding #Investing #Channelchek

Investment not Austerity

In the 2021 Environment Act, the Government introduced the biodiversity net gain policy (BNG). Up until now it’s inclusion in planning policy has been discretionary. As of this month it will become mandatory, slipping perhaps a little under the radar. So will BNG effect lenders? Developers will now have to demonstrate how they plan to achieve a minimum of 10% increase in BNG in all new developments to achieve planning permission. And this could impact permission renewals as well. Schemes will require an additional level of landscaping which, in certain cases could lead to the reduction in density of schemes. Increased costs, reduced GDV = reduction in value. There remains a big demand for consented sites perhaps even more so with this mandatory requirement. But. And a big but. Lenders funding consented sites yet to be implemented need to be very aware of this issue - back in the good old days, the assumption was always “we’ll be alright, the council will renew”. Well they probably will, but at a cost. Any loan facility, on land, must allow plenty of time for a pre commencement conditions to be implemented and/or a spade in the ground or otherwise you either are left with a site with effectively no permission or a permission that is no longer financially viable, with the effects of BNG. Planning is a minefield for developers - and lenders. The right advice is key. I have learned the hard way. Fortunately over the years I have gained access to the right professionals to navigate the increasingly complex planning system. Always happy to share! Either DM me or call on 07801785403 #planning #planningpermission #devlopment #finance