On the afternoon of November 24, four private equity investment firms staged a dedicated roadshow at the Beijing Financial Asset Exchange, with intentions to issue sci-tech innovation bonds totaling 930 million yuan. These bonds represent the second batch of projects to benefit from the risk-sharing mechanisms for sci-tech innovation bonds, a financial innovation introduced by the People's Bank of China. This development signifies that an increasing number of private equity investment entities are securing financing through the interbank bond market, bolstered by policy incentives.

The risk-sharing mechanisms for sci-tech innovation bonds are policy-driven financial tools crafted by the People's Bank of China. These instruments provide low-cost reloan funds and collaborate with local governments and market-oriented credit enhancement agencies to guarantee bond issuances by equity financing institutions, thereby creating credit risk mitigation tools. Furthermore, these mechanisms also facilitate the issuance of sci-tech innovation bonds through direct investment.

On June 18 of this year, five private equity investment firms had already availed themselves of this support and successfully completed their bond issuances, with a cumulative scale of 1.35 billion yuan. Presently, nearly 50% of these raised funds have been effectively deployed, mobilizing a capital scale exceeding 10 billion yuan. These funds have been primarily channeled into pivotal sectors such as integrated circuits, artificial intelligence, biopharmaceuticals, and new materials, effectively harnessing the 'bonds-for-investment' effect.