Shengyi Technology plans CNY 2bn exchangeable bond offering

Shengyi Technology (SSE:600183) has announced plans for a private placement of exchangeable corporate bonds (ECBs), with the offering not exceeding CNY 2 billion. These bonds can be exchanged for A-shares of ShengYi Electronics (SSE:688183.SH), which Shengyi Technology holds. Scheduled for private placement to qualified investors, the bonds have a fixed interest rate and a term of no more than five years. The ECB offering requires shareholder approval and authorization from the Shanghai Stock Exchange. Proceeds will be used to supplement working capital, repay debts, project construction, equity investments, and other legally permissible uses. These ECBs are secured by a share pledge of ShengYi Electronics shares, for which specific details will be determined later.