SchneiTec Dynamic Issues $50 Million Green Bond For Solar Plant in Kampong Chhnang Province

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SchneiTec Dynamic Issues $50 Million Green Bond For Solar Plant in Kampong Chhnang Province
SchneiTec Dynamic Issues $50 Million Green Bond For Solar Plant in Kampong Chhnang Province./Image supplied.

SchneiTec Dynamic announced the issuance of a 15-year green bond worth KHR 196.64 billion (approximately USD 49.16 million) to finance a 60 MW solar photovoltaic power plant at an official listing ceremony held at the Cambodia Securities Exchange (CSX) on April 11, 2025.

The issuance comprises of three tranches: two CGIF-guaranteed green bonds – KHR 60 billion (~USD 15 million) with a floating rate coupon, and KHR 80 billion (~USD 20 million) with a floating rate coupon featuring a floor and cap – as well as an unguaranteed green bond of KHR 56.64 billion (~USD 14.16 million). 

Located in Kampong Chhnang province, this solar plant is expected to contribute to the reduction of greenhouse gas emissions by 85,955 metric tons of CO2 equivalent annually while generating approximately 130 GWh of clean energy per year for the national grid and creating at least 450 green jobs.

H.E. Sou Socheat, Director General of the Securities Exchange Regulator of Cambodia (SERC), stated:

This successful issuance reflects the growing confidence in our capital markets, while demonstrating our commitment to supporting investments that advance social and environmental goals. I also would like to thank international partners, including UN ESCAP, Global Green Growth Institute (GGGI), CGIF, GuarantCo, and the Government of the Grand Duchy of Luxembourg for providing technical supports that contribute to the maturity of Cambodia’s sustainable bond market.

H.E. Sou Socheat, Director General of the SERC, speaking at the bond listing ceremony on April 11, 2025./B2B Cambodia.

Dr. Heng Socheat, Chief Executive Officer of SchneiTec Dynamic, said, “With the successful listing of our bonds today, we are now in a stronger position to access the capital markets, accelerating the growth of our renewable energy projects. This will allow us to expand our clean energy solutions, reduce reliance on traditional energy sources, and contribute to a more sustainable future for Cambodia.” 

Following the first successful bond listing last year by Royal Group Phnom Penh SEZ, this issuance marks another milestone under the Cambodia Sustainable Bond Accelerator Program (CSBA). The CSBA is a joint initiative led by the SERC, GGGI, and UN ESCAP, in partnership with CGIF – a trust fund of the Asian Development Bank (ADB) – and GuarantCo. Through this program, SchneiTec Dynamic was selected to receive technical assistance, issuance support, and enhanced investment mechanisms such as credit enhancement.

Hamza Ali Malik, Director of Macroeconomic Policy and Financing for Development Division at ESCAP, shared that “ESCAP is proud to have conceptualised and initiated the Cambodia Sustainable Bond Accelerator, which has now enabled yet another landmark green bond issuance. This successful transaction not only demonstrates the power of blended finance in catalysing climate mitigation projects in Cambodia, but also stands as an outstanding example of government, private sector, and development partner coordination around a shared sustainability goal. We are deeply grateful to the Government of Cambodia and our partners for their continued collaboration in building a more resilient and green financial ecosystem in Cambodia and the region.”

Shomi Kim, GGGI Cambodia Country Representative, remarked, “Over the past two years, we have witnessed the rapid ecosystem development and increased awareness of Cambodia’s sustainable financing. This has been a significant journey to promote sustainable financing through the Sustainable Bond Accelerator Program, which is also co-funded by the government of the Grand Duchy of Luxembourg through the Global Trust Fund on Sustainable Finance Instruments (GTF).” 

She added that by aligning with international best practices and demonstrating a strong commitment to green investment, SchneiTec Dynamic is not only mobilising capital for green projects, but also setting a precedent for future issuers in the country.

Excellencies and distinguished guests at the listing ceremony on April 11, 2025./Image supplied.

The official listing on the CSX took place on the morning of April 11, 2025, accompanied by the presentation of the bond listing certificate and bond trophy, as well as remarks by H.E. Dr. Hean Sahib, Secretary of State, Ministry of Economy and Finance, representatives of the Cambodia Bond Accelerator Program, CSX, CGIF, and SchneiTec Dynamic.

Hongwei Wang, Chief Executive Officer of CGIF, stated, "This isn’t just another bond issuance – it’s a landmark moment for Cambodia. With CGIF’s support, it demonstrates that well-structured bonds can mobilise both domestic and foreign long-term capital for Cambodia’s critical infrastructure and sustainable development.” 

Wang further added:

The innovative multi-tranche structure expanded the investor base by catering to different risk appetites, attracting local and foreign banks as well as life insurance companies. CGIF's role extended beyond credit enhancement; we acted as the anchor creditor, leading due diligence, structuring, and documentation to align the transaction with international project finance standards. This approach instilled confidence among offshore and onshore investors, enabling their participation in the unguaranteed tranche despite perceived country risks in Cambodia. With this success, we believe this structure can be replicated in other frontier markets across ASEAN.

This green bond is also backed by a Green Bond Framework that aligns with local, regional and international standards such as the Green Bond Principles (GBP) of the International Capital Market Association (ICMA), the ASEAN Green Bond Standards (GBS) of the ASEAN Capital Market Forum (ACMF), and the Guidelines on the Issuance of Green, Social and Sustainable Bonds by the SERC. 

Importantly, this green bond has received a ‘Dark Green’ assessment under S&P Global’s Shades of Green methodology (Second Party Opinion), indicating that the financed activities strongly align with the long-term vision of a low-carbon and climate-resilient future. This independent evaluation underscores SchneiTec Dynamic’s commitment to transparency and environmental integrity.

This press release was supplied.


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