China Longyuan Power Group raised 1.50 billion yuan through an onshore sale of ultra short-term debentures, locking in a 1.63% coupon on 120-day notes as it continues to fine-tune its funding mix.
The company said the bonds were issued on September 24, with interest accruing from September 25.
Proceeds will replace existing interest-bearing debt and bolster working capital, according to a filing. The notes carry a face value of 100 yuan per unit. Shanghai Pudong Development Bank served as lead underwriter for the offering.
The latest tap underscores how China’s large renewable-energy issuers are leaning on the interbank market for quick, low-cost liquidity.
Ultra short-term debentures are a staple of corporate cash management in China because they can be rolled or retired with limited duration risk.
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For Longyuan, the trade is consistent with management’s 2025 playbook to keep capital costs in check while scaling wind and solar capacity.
Activity has been brisk this year. In the first half of 2025, Longyuan issued four ultra short-term financing bonds, six medium-term notes, and one green medium-term note, for a combined 22 billion yuan.
The company highlighted the program’s role in preserving an industry-low cost of capital. The new notes follow a series of similar short-dated deals across the summer.
In July, Longyuan completed a 2.0 billion yuan ultra short-term debenture with a 180-day tenor at a 1.47% coupon, illustrating the favorable pricing the group has achieved in 2025 as money-market rates eased.
The appeal of the latest sale is straightforward for bond investors. The paper sits near the front end of the curve, limiting interest-rate sensitivity while offering a pickup over top-tier bank deposits.
The maturity profile helps smooth near-term cash flows and supports project execution in a year when depreciation and personnel costs have risen with new assets coming online for the issuer.
Longyuan’s interim results showed higher operating expenses tied to projects reaching commercial operation, another reason to keep liquidity flexible.
Short-tenor issuance also fits the company’s balance-sheet strategy after it disposed of coal-power assets last year and sharpened focus on wind and solar.
Keeping refinancing windows frequent but manageable can be a prudent hedge against policy and pricing shifts in the onshore market. If rates drift higher, ultra short-term maturities can be retired quickly.
If conditions remain easy, the company can roll maturities or step out the curve with additional medium-term notes.
Investors watching Longyuan’s funding path will likely focus on three things. First, execution on project pipelines and any associated drawdowns that influence working capital needs.
Second, the cadence of further ultra short-term sales versus longer-dated notes as the group balances cost and duration.
Third, whether coupon levels on fresh deals track the modest moves in domestic liquidity that have shaped pricing across the interbank market this year.
None of those factors is unique to Longyuan, but the company’s size makes each incremental financing a useful barometer for the broader renewable-energy complex.
Longyuan’s stock trades in Hong Kong under 0916 and on the Shenzhen exchange under 001289. The company is among China’s largest wind-power operators and a frequent participant in the domestic debt market.
With the latest 1.50 billion yuan print, it adds to a run of 2025 issuance that has emphasized short-dated flexibility alongside selective longer-term funding.
That mix should continue to give the company room to navigate project schedules, subsidy settlements, and seasonal cash swings while holding funding costs near recent lows.
