Sinotrans provides RMB 34.86m financing to subsidiary

Sinotrans (SSE:601598) announced it would provide financial support to its subsidiary, the partially-owned Sinotrans & China Merchants (Belarus) Trade and Logistics Co., Ltd. The support package, approved by Sinotrans' board, involves providing financing and loan term extensions, subject to shareholder approval due to the subsidiary's debt ratio. The financial boost aims to alleviate the subsidiary's capital constrictions and promote business growth within the framework of prudent risk management. As part of the agreement, Sinotrans' subisidiary will also have to fulfill the minimum interest obligations, and any other obligations. It is expected to amount to RMB 157.69 million and will account for 37.51% of the company's most recent audited net assets.