China Shipbuilding Industry unit guarantees subsidiary's debt

China Shipbuilding Industry (SSE: 601989) announced its subsidiary, Dalian Shipbuilding Industry Group, has provided a RMB 200 million guarantee for Dalian Shipbuilding Industry Group Equipment Manufacturing Co., Ltd. to facilitate the issuance of bank acceptances and letters of guarantee. This guarantee is within the approved limit authorized by shareholders at the recent annual meeting. As of February 28, 2025, the total outstanding guarantees provided by China Shipbuilding Industry for its subsidiaries stood at RMB 1.88 billion, representing 2.26% of the company’s latest audited net assets. The company clarified that it has no overdue external guarantees and has not provided guarantees to its controlling shareholders, de facto controllers, or related parties. The guarantee will run for 12 months and is considered reasonable and necessary for the subsidiary's operations.