Aiko Solar guarantees subsidiary's borrowing with new 650m yuan facility

Shanghai Aiko Solar Energy Co., Ltd. has announced a new guarantee of 650 million yuan for its subsidiary, Zhejiang Aiko Solar Energy Technology Co., Ltd. This guarantee is for comprehensive credit facilities provided by China CITIC Bank Yiwu Branch. Including this latest amount, the total outstanding guarantee provided by Aiko Solar for Zhejiang Aiko now stands at 11.919 billion yuan.

The company's board of directors and shareholders previously approved an external guarantee limit of 36.200 billion yuan for 2025. With this new guarantee, the cumulative amount of guarantees provided by the company for its subsidiaries remains within the authorized limit, totaling 23.331 billion yuan. This represents 656.42% of the company's net assets as of the latest audited period, with actual debt outstanding under these guarantees amounting to 14.096 billion yuan.

The guarantee is structured as a joint and several liability, covering the principal, interest, penalties, and other associated costs, with a term of three years from the maturity of the main contract. Zhejiang Aiko's financial performance showed total assets of 28.925 billion yuan and a net profit of negative 646 million yuan for the first half of 2025.