White & Case Assisted Egypt Finance Sustainable Development with Panda Bond Issuance

White & Case Assisted Egypt Finance Sustainable Development with Panda Bond Issuance

Global law firm White & Case played a key role in advising the guarantors in Egypt's historic issuance of RMB 3.5 billion (approximately $500 million) worth of 3.51 per cent three-year panda bonds. The Asian Infrastructure Investment Bank (AIIB) and the African Development Bank (AfDB) unconditionally and irrevocably guaranteed these bonds.

In a historic development, the Bank of China assumed the central role of underwriter and bookrunner, while HSBC partnered as the joint lead underwriter and joint bookrunner for this ground-breaking issuance. This momentous event marked several remarkable milestones, including the inaugural African panda bond issuance, the debut of a sustainable development sovereign panda bond issuance, the first-ever guaranteed sovereign panda bond issuance, the pioneering bond issuance jointly guaranteed by two multilateral development institutions in the Chinese bond market, the commencement of a panda bond issuance guaranteed by AfDB, and the initiation of a bond issuance with AIIB's backing.

These bonds are significant beyond financial markets, as they align closely with Egypt's Sovereign Sustainable Financing Framework. The funds raised will support Egypt's strategic sustainable development efforts, including transportation, renewable energy, sustainable water and sanitation management, affordable housing, and digital infrastructure development – key priorities under the framework.

Partner David Li from Beijing and local partner Xuan Jin from Hong Kong jointly led the White & Case legal team that facilitated this landmark transaction. Associates Hilda Leung from Hong Kong and Stephanie Zhao from Singapore contributed to their collaborative efforts.