On April 17, 2017, State Grid Corporation of China (SGCC), advised by King & Wood Mallesons (“KWM”), established a US$7.7 billion overseas Medium Term Note Programme (the “Programme”) through State Grid Overseas Investment (2016) Limited (the “Issuer”), an SPV set up in the British Virgin Islands by State Grid Overseas Investment Limited, a wholly owned subsidiary of SGCC. On April 27, 2017, under the Programme, the Issuer successfully issued the U.S.$5 billion Senior Guaranteed Notes (the “Notes”) to the global investors. SGCC provides an unconditional and irrevocable guarantee to the Programme and the Notes. This transaction is the largest single-currency foreign note issuance programme in the history of Chinese state-owned enterprises and has created a record of the largest note issuance programme in global public utilities industry and the Asia-Pacific region since the beginning of 2017.

SGCC is the world's largest utility and power grid enterprise, engaged in the construction and operation of power grid. SGCC ranked 2nd in the Fortune 2016 Global 500. Through the establishment of the Programme, SGCC achieves a new breakthrough in the field of overseas financing, which protected the flexibility on the timing of issuance, and effectively resolved the difficulties of large issue scale and dispersed exchange settlement.

KWM acted as PRC legal counsel for SGCC. During the transaction, KWM provided the client with comprehensive, professional, quality and efficient legal services. Based on the close cooperation with the client and other advisors, KWM completed a series of work including internal and external approvals, due diligence, the review of Offering Circular and transaction documents and the issuance of legal opinion within a limited period of time. The leading partners of this transaction are Mr. Zhang Yongliang and Mrs. Song Yanyan.

One of the leading partners of the transaction, Zhang Yongliang, commented, “SGCC is our long-term client. We’re delighted to assist SGCC in successfully completing this groundbreaking milestone project. Since SGCC’s first attempt at overseas issuance of notes in 2013, KWM has been advising SGCC on completing all of its overseas USD or Euro-denominated notes issuance projects from 2013. Not only has our team accumulated a wealth of experience in the field of overseas notes issuance, but also provides clients with high value-added services based on the periodical features of different industries and capital markets, so as to help them seizing business opportunities and accomplishing their strategies on expanding their business to the international markets at different stages.”