China Railway Signal & Communication renews financial services deal

China Railway Signal & Communication Corporation Limited (CRSC) has renewed its Financial Services Framework Agreement with CRSC Group Finance Limited ("Finance Company") for three years, from January 1, 2026, to December 31, 2028. This renewal, following the previous agreement's expiration on December 31, 2025, aims to enhance CRSC's capital management, broaden financing channels, and reduce costs. Finance Company, 95% owned by CRSC, will continue providing deposit, credit, and other financial services to China CRSC Group, which holds 62.78% of CRSC's issued share capital.

The renewed agreement sets annual caps for credit services. For the years ending December 31, 2026, 2027, and 2028, the maximum daily credit balance for CRSC Group is capped at 500 million yuan annually. This cap was determined based on CRSC Group's business development, capital requirements, and asset scale. Deposit services under the agreement are fully exempt from reporting and approval requirements. Credit services are subject to reporting and annual review but are exempt from independent Shareholders' approval due to applicable percentage ratios.

Other financial services, calculated according to Listing Rules, are also exempt from most reporting and approval requirements, provided transaction amounts do not exceed the minimum exemption level. The Board of CRSC believes the terms of the renewed agreement are fair, reasonable, and in the best interests of the company and its shareholders.