Recently, the First-tranche of Huatai-Ctrip Finance’s “Go Spend Money” Asset-backed Special Plan (No.1-10) (hereinafter referred to as “the Ctrip Special Plan”) was reviewed and approved by SZSE. The Ctrip Special Plan is China’s first asset securitization product in “Internet + Tourism” industry. The launch of this product is an important financial innovation that enables SZSE to support new economy enterprises, serve the development of the real economy, boost and upgrade domestic consumption in “Internet + tourism” industry. It is also an important move to actively respond to the Several Opinions of the General Office of the State Council on Further Promoting Tourism Investment and Consumption."
The Ctrip Special Plan, with Huatai Securities (Shanghai) Asset Management Co., Ltd. as its manager, is registered for shelf offering in the total amount of CNY3 billion by 10 tranches at most. The special plan is backed by the contractual debt under the factoring contracts entered into by consumers who purchase travel services by installment via Ctrip and Qunar platforms’ financial product-Go Spend Money. The first tranche shall be issued in the amount of CNY500 million with a duration of 2 years, the first year being the revolving period and the second year the amortization period. The product does not rely on the credit of the parties concerned, and the priority class of the asset-backed securities has obtained AAA rating based on the quality of its underlying assets and structured layering.
The Report of the 19th CPC National Congress outlined the vision of improving the institutional mechanisms for promoting consumption, and enhancing the basic role of consumption in economic development. The Ctrip Special Plan revitalizes the assets in stock, assists enterprises in lowering tourism consumption threshold for travelers via consumer finance, which will further enhance the "Internet + tourism" consumer experience, boost tourism consumption, boost and upgrade domestic consumption. The Ctrip Special Plan is another fixed-income product innovation of SZSE in tourism industry following the "Happy Valley ABS", "Guangzhou Chimelong ABS" and "Yunnan Balagezong ABS", and it not only helps new economy enterprises facilitate domestic tourism consumption upgrading, but also provides some helpful reference for financing of quality tourism companies by way of securitization products.
Next, SZSE will continue to study and implement the spirit of the 19th CPC National Congress, earnestly implement the principles and policies of the CPC Central Committee and the State Council, and, in accordance with the unified arrangements of the China Securities Regulatory Commission, steadily push forward fixed-income products innovation, support the development of new economy enterprises by leveraging various innovative financing instrument, promote the sound development of tourism consumption, and help upgrade domestic consumption through multiple channels.
4. What are the support measures for the declaration and issuance of poverty alleviation bonds in SZSE bond market?
A: In order to give full play to the role of the bond market in promoting poverty alleviation and ensure the effective implementation of diverse measures for precise poverty alleviation, SZSE encourages and supports the issuance of poverty alleviation bonds by enterprises registered in poverty-stricken areas who have real financing needs for precise poverty alleviation projects.
SZSE will comply with "CSRC’s Opinions on Serving the National Poverty Alleviation Strategy by Making Use of the Capital Market" and "SZSE’s Q&A on implementing CSRC’s Opinions on Serving the National Poverty Alleviation Strategy by Making Use of the Capital Market." And will actively implement support measures such as prompt review upon submission, personnel-specific handling, and bond-specific review, arrange special personnel to take charge of reviewing poverty alleviation bond projects, and further improve the efficiency of reviewing poverty alleviation bonds under the same conditions. At the same time, SZSE encourages issuing poverty alleviation bonds combined with special varieties such as green bonds and bonds of innovative companies and start-ups, and will provide more convenient and quicker reviewing channels for such issuers.