CH MODERN D(01117) Sustainable Development Bonds won the "Best Bond Trade" award from "Finance Asia".

On November 28, 2025, China's leading dairy farming company, CH MODERN D Holdings Limited ("CH MODERN D"), announced that its 5-year $350 million senior unsecured sustainable development bond issuance project has received the "Best Bond Deal of 2025" award in the China offshore market from the authoritative financial magazine FinanceAsia. This award is a high recognition of CH MODERN D's innovative leadership in sustainable finance, excellent transaction execution capabilities, and profound positive impact on the industry. The award-winning bond issuance achieved several milestone achievements: First in Asia Pacific: The first sustainable development USD bond issuance in the Asia Pacific food and beverage industry. Global first: The first sustainable development USD bond issuance in the global dairy industry. Breaking new ground, leading industry sustainability As a traditionally challenging industry in terms of emissions reduction, the livestock farming sector faces high environmental scrutiny. Through its Sustainable Development Financing Framework, CH MODERN D has taken a leading step in the ESG financing field. The framework has received a second opinion (SPO) approval from the international rating agency Moody's and a SQS3 (good) rating. Particularly notable is its rating as "best practice" in fundraising fund usage, project assessment and selection processes, and fundraising management, providing a replicable model for future issuers and significantly enhancing the industry's ESG reputation. This successful issuance proves that even in "hard-to-reduce emissions" industries, with a sound framework and measurable impact, they can still gain favor in the global ESG capital market, setting an important precedent for other traditional industries seeking sustainable financing. Furthermore, this transaction aligns closely with China's "dual carbon" goals and rural revitalization policies, not only advancing CH MODERN D's own sustainable development process but also sending a strong signal to the industry and regional markets to integrate into ESG transformation. Overcoming challenges, achieving outstanding market performance The bond issuance took place in July 2025 when the market was generally anticipating a global interest rate cut, amidst uncertain interest rate prospects, continued foreign exchange fluctuations, and commodity price instability, presenting significant challenges to the issuance environment. Facing market volatility, CH MODERN D, based on its solid S&P BBB investment-grade issuer rating (with a stable outlook), engaged in comprehensive investor education and roadshow activities, actively communicating with global investors, clearly demonstrating its commitments and plans in low-carbon development, water resource management, and community development. This successfully converted investor recognition of its solid credit fundamentals and forward-looking ESG strategy into strong demand for subscriptions. With precise strategic timing and efficient execution, the transaction was launched in a favorable market window and successfully completed in a one-day book-building process. Ultimately, the issuance achieved unprecedented success: Oversubscription: The final order book totaled over $1.2 billion, reaching 3.4 times oversubscription. Increased size: Due to strong investor demand, the issuance size was expanded from the initial $300 million to $350 million. Significant price tightening: The final pricing tightened by 50 basis points from the initial price guidance, with a achieved "zero issuance premium," reflecting strong market confidence. Record-breaking: Set the narrowest spread for a BBB-rated issuer in the Asia Pacific food and beverage industry in 2025. Winning the award from FinanceAsia is not only a recognition of the professionalism of the company's internal and external trading teams but also an acknowledgment of CH MODERN D's long-term commitment to sustainable development strategies. This successful issuance ensures critical funding for the company's green and social responsibility projects, optimizes its capital structure, and showcases China's dairy industry leadership in the ESG field to the global market. This recognition will inspire the company to continue creating long-term value for all stakeholders. The successful issuance of this bond brings about a win-win situation for all parties, not only securing low-cost financing and expanding financing channels for CH MODERN D, but also consolidating its leadership position as a pioneer in sustainable finance in the Asia Pacific dairy industry, perfectly achieving the unity of economic benefits and environmental and social responsibility.