Southern Grid Energy Storage receives RMB 1bn loan

Southern Grid Energy Storage (SSE:600995) announced that its controlling shareholder, China Southern Power Grid, will provide a RMB 1 billion loan. This financial assistance will support the company's production, operations and general development. The loan carries an annual interest rate of 1.92%, matching the rate of China Southern Power Grid's recently issued mid-term notes, and has a term of 1,820 days. Southern Grid Energy Storage will use the funds to supplement its working capital. The company stated the interest rate is no higher than the loan market quotation interest rate, meaning the financial assistance can be exempted from the review and disclosure methods.