Industrial and Commercial Bank of China Limited (ICBC) has exercised its issuer call option and fully redeemed the RMB70.00 billion undated additional Tier 1 capital bonds issued between 4 and 8 June 2021 in the National Interbank Bond Market.

According to the bond prospectus, ICBC retained the right to redeem the securities in full at face value on the dividend payment date of the fifth interest-accrual year, set for 8 June 2026. The bank confirmed that the redemption was completed as of the 9 June 2026 announcement date.

The bonds, designated as the “2021 Undated Additional Tier 1 Capital Bonds (First Tranche),” were originally structured to enhance the bank’s capital adequacy while providing flexibility through an embedded call feature. By exercising this feature, ICBC removes the instrument from its capital structure without any change to coupon terms or a step-up in cost.

The decision, approved by the Board of Directors, concludes the lifecycle of the RMB70.00 billion instrument five years after issuance and aligns with the capital management provisions disclosed at issuance.

Board members at the time of the announcement include Executive Directors Liao Lin, Liu Jun, Duan Hongtao and Wang Jingwu; Non-Executive Directors Cao Liqun, Dong Yang and Zhong Mantao; and Independent Non-Executive Directors Norman Chan Tak Lam, Herbert Walter, Murray Horn, Chen Guanting, Li Weiping and Lee Kam Hung Lawrence.