Huaneng Hydropower announces related party's participation in share issuance

Huaneng Lancang River Hydropower has received regulatory approval for a non-public share issuance, with Central Enterprise Rural Industry Investment Fund Co., Ltd. (CERIIF) proposing to subscribe for up to RMB 800 million. CERIIF is considered a related party because a senior executive of Huaneng's controlling shareholder previously served as a CERIIF director within the last 12 months.

The proposed transaction, which would not constitute a major asset restructuring, was approved by Huaneng’s audit committee and independent directors on September 15, 2025, and subsequently by the board of directors. The board unanimously passed the resolution, authorizing the chairman to finalize the share subscription agreement with CERIIF, contingent on the final bidding process.

The share issuance will adopt a competitive bidding process, with the final price to be no less than 80% of the average stock trading price over the 20 trading days prior to the pricing base date. The company emphasizes that the final subscribers and subscription amounts remain uncertain, advising investors to monitor for updates.