Xinjiang Yilite unit borrows $41.7m from parent

Xinjiang Yilite Industry Co., Ltd. [SSE:600197] announced that its wholly-owned subsidiary, Xinjiang Yilite Sales Co., Ltd., plans to borrow 300 million yuan ($41.7 million USD) from the company's controlling shareholder, Xinjiang Production and Construction Corps. The loan is intended to meet the subsidiary's daily operational funding needs. The loan term is set for eight months, with an annualized interest rate of 3%, referencing the 1-year Loan Prime Rate (LPR). The transaction qualifies as a related-party transaction, but exempt from shareholder approval. In the past 12 months, there have been no other related-party transactions between the entities besides standard daily business.