Huadian Energy proposes governance changes, seeks financing up to CNY 2 bn

Huadian Energy will hold its first Extraordinary General Meeting of Shareholders in 2025 to discuss key proposals, including revising the company's articles of association to cancel the supervisory board. Its functions would transfer to the board's audit committee, a move aligning with Company Law revisions to streamline corporate governance. Concurrently, Zheng Gang has been nominated to replace Li Ruiguang as a director.

The company also plans to renew its financial services agreement with China Huadian Group Finance Co., Ltd., a related party. This agreement allows Huadian Energy and its subsidiaries to access deposits, settlements, and comprehensive credit facilities, with daily maximum deposit balances not exceeding CNY 9 bn and annual credit not exceeding CNY 9 bn.

Furthermore, Huadian Energy is seeking approval to register and issue ultra-short-term financing bonds up to CNY 1.2 bn and medium-term notes up to CNY 800m, totaling CNY 2 bn, to broaden financing channels and optimize its debt structure. The company also intends to facilitate financing lease transactions for its wholly-owned subsidiaries, totaling up to CNY 872m over a maximum of 15 years, and provide an entrusted loan of CNY 9.3963m to its controlled subsidiary, Heilongjiang Longdian Electric Co., Ltd.