UBS Prices CNY 2 Billion 5-Year Panda Bond in China at Record-Low Coupon Rate¹

Beijing, August 27, 2026 – UBS priced its inaugural Panda Bond in the China Interbank Bond Market (CIBM). The CNY 2 billion 5-year bond was issued with a coupon rate of 1.78%², representing both the lowest coupon rate and the tightest spread over China Development Bank (CDB) benchmark³ achieved to date for a 5-year Panda Bond issued by a foreign financial institution. It also marks the first Panda Bond issuance by a Swiss financial institution in China⁴. The transaction was more than three times⁵ oversubscribed, attracting strong demand from a high-quality and diversified group of investors.

Sergio P. Ermotti, Group CEO of UBS said, "China is an important market for UBS and a key component of our growth strategy. The inaugural Panda Bond issuance reinforces our long-term commitment to the market. Strong investor demand for the transaction underscores confidence in UBS's financial strength, disciplined risk management and long-term growth strategy."

Janice Hu, China Country Head of UBS said, “The issuance marks an important milestone in our continued participation in the opening-up of China’s financial markets and demonstrates the growing connectivity between China's onshore capital markets and international issuers. Having grown alongside China’s financial sector for more than 36 years, UBS remains focused on deepening our local engagement, connecting clients across markets and contributing to the continued internationalization of the Renminbi.”

Chris Chadie, Head of Issuance and Funding Strategy of UBS, noted, "The record-low coupon achieved on this issuance reflects investor confidence in UBS's strong credit profile and financial resilience. Accessing China's deep and increasingly sophisticated onshore bond market further diversifies our funding sources and enhances the efficiency and flexibility of our overall funding profile."

The transaction comes amid continued growth in China’s Panda Bond market, supported by a favorable funding environment, continued market reforms and growing participation by international issuers. As of August 25, 2026, Panda Bond issuance exceeded RMB 200 billion⁶.

UBS Securities Co. Limited and Industrial and Commercial Bank of China Limited served as lead underwriters for the transaction.

1. The coupon rate is 1.78%, the lowest achieved to date for a 5-year Panda Bond issued by a foreign financial institution. Source: Wind, as of August 25, 2026

2. Source: Wind; China Foreign Exchange Trade System & National Interbank Funding Center Website at https://www.chinamoney.com.cn/chinese/zqfxgg/20260827/3404899.html#cp=zqfx

3. Source: Wind, as of August 25, 2026

4. Source: Wind, as of August 25, 2026

5. Source: Wind; China Foreign Exchange Trade System & National Interbank Funding Center Website at https://www.chinamoney.com.cn/chinese/zqfxgg/20260827/3404899.html#cp=zqfx

6. Source: Wind, as of August 25, 2026

About UBS

UBS is a leading and truly global wealth manager and the leading universal bank in Switzerland. It also provides diversified asset management solutions and focused investment banking capabilities. UBS manages 7.3 trillion dollars of invested assets as per the second quarter 2026. UBS helps clients achieve their financial goals through personalized advice, solutions and products. Headquartered in Zurich, Switzerland, the firm is operating in more than 50 markets around the globe. UBS Group shares are listed on the SIX Swiss Exchange and the New York Stock Exchange (NYSE).