Ningxia achieves "zero breakthrough" in public REITs

China News Service, Yinchuan, October 27 (Reporter Yu Jing) On October 27, the reporter learned from the Finance Office of the Ningxia Party Committee that the China International Finance Corporation Jiaze New Energy Closed Infrastructure Securities Investment Fund (International Finance Corporation Jiaze New Energy REIT, code 508038) was officially launched for sale. This is Ningxia’s first publicly offered REITs product, marking the “zero breakthrough” of Ningxia’s publicly offered REITs. Ningxia has become the third province in the northwest and the 22nd province in the country to issue publicly offered REITs.

According to reports, the fund will sell a total of 300 million shares, with a duration of 16 years, and will be listed on the Shanghai Stock Exchange. Public investors can subscribe on the market during the trading hours from October 26 to 29. The underlying assets of the project are the Jiaojiapan 100MW wind farm in Tongxin County and the 17.5MW wind farm in Xinnong County, with a total installed capacity of 117.5MW. Jiaze New Energy is injected into the project as the initiator and original equity holder. The two wind farms will be included in the UHV Lingshao DC supporting power supply in November 2025, and clean power will be sent to Zhejiang through the "West-to-East Power Transmission" channel. After the project is put into operation, the power generation and operation will be stable, and it will have long-term sustainable cash flow guarantee, laying a solid foundation for the stable operation of the fund.

Publicly raised REITs projects have a long review chain and high compliance requirements, involving multiple complex tasks such as asset confirmation, tax treatment, and compliance review. In the early stages of the project, companies faced difficulties such as insufficient application experience and unclear paths. To this end, the Financial Office of the Ningxia Party Committee has established a special ledger and implemented regular dispatch. It has teamed up with the Ningxia Development and Reform Commission, the Ningxia Securities Regulatory Bureau, and the Shanghai Stock Exchange to set up a special service class to conduct door-to-door consultations and provide front-line services. It sorted out assets item by item, clarified the declaration path, and solved review blockages. At key points in the declaration, it went to the China Securities Regulatory Commission and the Shanghai Stock Exchange multiple times for docking reports, striving for policy guidance, clearing obstacles to the entire process of declaration, and ensuring the smooth progress of the project.

The implementation of new energy REITs has effectively revitalized the existing heavy assets of wind power, helped enterprises withdraw construction funds, and established a new rolling investment and financing model of "revitalizing existing assets and increasing investment". The project not only opened up a channel for Ningxia's new energy assets to connect with the capital market, but also formed a replicable and promoteable financing model, providing practical experience for the asset securitization of Ningxia's clean energy projects.

In the next step, the Finance Office of the Ningxia Party Committee will use this project as a starting point to build a tiered project reserve pattern of "cultivating a batch, mentoring a batch, applying for a batch, and issuing a batch". We will continue to promote clean energy and new materials high-quality enterprises to connect with the capital market, actively expand REITs projects in commercial real estate, infrastructure and other fields, continue to revitalize existing assets, introduce social capital, and use financial innovation to support the high-quality development of Ningxia's green industry.