Fosun secures USD888 million sustainability loan with 25 banks

In Hong Kong on October 2, 2024, Fosun International Limited announced the successful completion of a sustainability-linked syndicated loan totaling USD888 million. This loan, which began its launch in May 2024 with an initial close of USD603 million, is notable for being one of the largest of its kind for a Chinese privately-owned enterprise this year. The syndicate involved 25 banks, including major institutions like HSBC and Standard Chartered, which served as ESG Coordinators. The loan's structure reflects Fosun's commitment to environmental, social, and governance (ESG) initiatives, having incorporated sustainability-linked features since 2023. This financing strategy has attracted both long-term banking partners and new lenders from various countries, including China, Italy, and Japan, showcasing the company's strong international support. Fosun has been proactive in managing its debt and optimizing its financial strategies, having successfully completed a similar syndicated loan each year since 2017. The company aims to enhance its operating capabilities in key industries while maintaining a robust liquidity management approach. As of June 30, 2024, Fosun's total assets were valued at RMB821.9 billion, and it holds an AA MSCI ESG rating, distinguishing it as the only conglomerate in Greater China with such recognition. This successful loan completion underscores Fosun's strong financial position and its ongoing commitment to sustainable business practices.