Hong Kong, October 8, 2021 – Sheng Ye Capital Limited (“SY Capital” or the “Company”, stock code: 6069.HK), an industry focused supply chain fintech platform, is pleased to announce that Hang Seng Indexes Company Limited (“HSIL”) has recently upgraded the Company’s ESG rating from “A-” in 2020 to “A”, reflecting the market’s recognition of the Company’s performance in environment, social and corporate governance as well as its initiatives in achieving carbon peak and neutrality.
HSIL stated in the report that SY Capital’s overall ESG performance ranks top 20% among its industry peers (out of 50 companies). In particular, the Company ranks top 10% in terms of corporate governance, and top 20% in terms of labour practices, fair operating practices, and community involvement and development among its industry peers (out of 50 companies).
HSIL introduced its first sustainability or ESG index in 2010, which has now become one of the major tools adopted by domestic and international investors when identifying investment targets. According to the selection criteria of the ESG index, companies with higher ESG ratings will be selected as constituent stocks of the Hang Seng Corporate Sustainability Index series, which in turn may attract more investor attention and elevate the investment value of the companies.
(Source: HSIL website)
Following the Company’s inaugural MSCI ESG “A” rating and its inclusion in the Hang Seng Corporate Sustainability Index earlier this year, the upgrade of the Hang Seng ESG rating underscores SY Capital’s excellence in its ESG strategies and initiatives.
Technology enabled green supply chain development
SY Capital has been dedicating considerable efforts to achieve China’s dual carbon targets. The Company actively pursues technology implementation to drive the development of green and sustainable supply chains. For example, by integrating artificial intelligence, big data and Internet of Things (“IoT”) technologies on its proprietary cloud-based platform, the Company has enabled online and remote contract signing, replacing paper contracts with electronic contracts. Through more environmentally friendly paperless contracting, SY Capital helps platform users enhance efficiency while reducing paper wastage, effectively reducing the carbon footprint and helping to achieve "carbon neutrality".
Promote the positive development of industries, building a modernized ecosystem which is efficient, intelligent and green
As part of its continuous efforts to promote the integration of industries and finance to serve the real economy, SY Capital strives to steer the development of the industry towards a more sustainable direction. To this end, the Company has formulated acceptance policies for each industry sector, which specifies the types of enterprises and projects that should be prioritized and those that should be strictly controlled. This results in a more targeted allocation of resources to enterprises that are deemed healthy and have sound development. In line with China’s current strategic focus for higher quality economic development, the Company has also identified projects relating to fields of public facilities, transportation, industrial parks and new infrastructure as projects to be prioritized and have correspondingly increased its service support for these projects, thereby facilitating the establishment of a more efficient, intelligent and environmentally friendly modern infrastructure system.
Dedicated to environmental protection
SY Capital actively contributes to environmental protection. As of December 31, 2020, its greenhouse gas emissions have decreased by 51.03% year-over-year. The Company also encourages employees to do double sided printing, purchase stationery with green product certifications, set up waste separation bins in public areas, conserve water, turn off lights and air conditioners when not in use, and practice other green office concepts to maximize utilization of consumables and promote sustainable development.
An enterprise that fulfils social responsibility and cares
As a thoughtful enterprise, SY Capital insists on practicing social responsibility and encourages its employees to participate in social welfare activities. In terms of public welfare, the Company also actively takes part in poverty relief, care for children’s growth, youth development and community care.
In 2021, the Company established Sheng Ye Light (“SY Light”), a program which encourages employees to participate in various public welfare activities. In May this year, SY Capital participated in the EGG Walkathon to raise funds for a number of private charity projects related to supporting under-privileged children. In mid-July, the Company participated again in the Sheng Ye Raleigh Guizhou Youth Camp event to support the renovation of Guizhou Raleigh Base Camp and has invested more than RMB 2.8 million in the project so far. In late July, the Company also reconvened the SY Light team to take part in the 2021 “Angel Beats” charity initiative in Ganzi, Sichuan Province, to support charity projects that focus on screening, surgical fee support, post-operative care and donation of standing medication for diseases such as congenital heart disease, cataracts, scoliosis and cleft lip and palate.
(“SY Light” team participates in the 2021 “Angel Beats” charity initiative in Ganzi, Sichuan Province)
Enabling SMEs with fintech capabilities to support common prosperity
Financing for small, medium and micro enterprises (“SME”) has traditionally been difficult and expensive. China has also continuously launched policies to promote the development of supply chain finance to address SMEs’ pain points, encourage technological innovation to improve supply chain efficiency and promote development of the real economy. SY Capital is committed to building a fintech-driven, efficient and end-to-end supply chain finance ecosystem. Leveraging its profound industry experience and advanced R&D, the Company resolves the pain points and create value for business partners such as core enterprises, SME customers and financial institutions.
Through its “Dual-Engine, One-Platform” strategy, SY Capital harnesses industrial technology and digital finance to build a comprehensive supply chain service platform. The Company provides digital solutions, including the utilization of technologies such as IoT. Leveraging its data, SY Capital is able to provide online and automated supply chain financial services, providing inclusive financial services for SMEs. According to the Company’s 2020 ESG Report, the total loan amount obtained by SMEs through SY Capital’s platform was nearly RMB 15 billion for the year. Through these initiatives, the Company resolves SMEs’ financing pain points, serves the real economy and helps to achieve the strategic goal of common prosperity.
(Source: Sheng Ye Capital 2020 ESG report)
SY Capital adheres to the mission of “making supply chain finance more efficient and inclusive”, and strives to improve its ESG management standards and performance along with achieving robust financial performance. The Company believes that a solid ESG performance has a decisive impact on the Company’s sustainable development, perpetuation of its business and creation of long-term value for shareholders.
Looking ahead, SY Capital will continue to enhance its ESG performance and proactively engage in social responsibility. In addition, the Company will continue to optimize its green supply chain fintech capabilities to offer inclusive, green and convenient integrated financial services to more SMEs in the green economy. This effort is fully aligned with China’s transformation towards a green and low-carbon economy, its strategic goals to peak carbon emissions and achieve carbon neutrality, as well as to achieve common prosperity.
