Second-Party Opinion Download

Sustainalytics is of the opinion that the Shinsun Holdings (Group) Co., Ltd. Sustainable Finance Framework is credible and impactful and aligns with the Sustainability Bond Guidelines 2018, Green Bond Principles 2018, Social Bond Principles 2020, and Green Loan Principles 2021. This assessment is based on the following: 

USE OF PROCEEDS

The eligible categories for the use of proceeds – Green Buildings, Energy Efficiency, Pollution Prevention and Control, Sustainable Water and Wastewater Management, Climate Change Adaptation, Renewable Energy, Environmentally Sustainable Management of Living Natural Resources and Land Use, Clean Transportation, Indemnificatory Housing, Access to Essential Services – are aligned with those recognized by the Green Bond Principles, Social Bond Principles and Green Loan Principles. Sustainalytics considers that the eligible categories will reduce the carbon footprint and improve sustainability performance of Shinsun’s operations in China, and advance the UN Sustainable Development Goals, specifically SDG 3, 4, 6, 7, 9, 11.  

PROJECT EVALUATION / SELECTION

Shinsun’s project evaluation and selection process will be managed by a Sustainable Finance Working Group (“SFWG”), comprised of members from Property Management, Sustainability, Treasury, Investor Relations and Legal Departments. The SFWG is responsible for final approval of eligible projects, which will be monitored annually. In case of any material changes in projects, they will be substituted with new eligible projects as soon as practicable. Sustainalytics considers the project evaluation and selection process in line with market practice.  

MANAGEMENT OF PROCEEDS

Shinsun’s processes for management of proceeds will be handled by the Finance Department, with oversight from the SFWG. The allocation of proceeds will be tracked using the Company’s internal management system. Unallocated proceeds will be temporarily held in short-term deposits or investments in line with the Company’s liquidity guidelines. This is in line with market practice. 

REPORTING

Shinsun intends to report on allocation and impact of proceeds on its website on an annual basis until full allocation. Allocation reporting will include such as the allocation amount by eligible category and geographical distribution, share of financing vs. refinancing, project examples, and amount of unallocated proceeds and its temporary treatment. In addition, Shinsun is committed to reporting on relevant impact metrics. Sustainalytics views Shinsun’s allocation and impact reporting as aligned with market practice.