Boway Alloy boosts guarantee for wholly-owned subsidiary's loan

Ningbo Boway Alloy Material Co., Ltd. (Boway Alloy) announced an additional RMB 100 million guarantee for its wholly-owned subsidiary, Ningbo Boway Alloy Material Co., Ltd. (Boway Sheet), for comprehensive banking credit. This brings Boway Alloy's total guarantee for Boway Sheet to RMB 845 million (excluding the current addition). The guarantee is a joint and several liability. The company’s total external guarantee, including this transaction, amounts to RMB 365,784.05 million. This includes $39.30 million and €30.50 million, representing 43.44% of the company's net assets as of the latest audited period (2024).

The guarantee is an amendment to a previous agreement with the Export-Import Bank of China, Ningbo Branch, increasing the maximum guarantee amount from RMB 550 million to RMB 650 million. The Board of Directors and the Annual General Meeting approved the 2025 external guarantee plan, which allocates RMB 3.9 billion for wholly-owned subsidiaries, with RMB 1.7 billion for those with a debt-to-asset ratio below 70%.

Boway Sheet's debt-to-asset ratio is below 70%, and its operational status is favorable, allowing Boway Alloy to maintain control over its operations and manage potential risks effectively. All guarantees are for wholly-owned subsidiaries, with no overdue external guarantees reported.