Anyang Steel guarantees $100m lease for subsidiary Zhoukou Company

Anyang Iron & Steel Group Co., Ltd. (Anyang Steel) has approved a guarantee for its controlling subsidiary, Henan Angang Zhoukou Iron and Steel Co., Ltd. (Zhoukou Company), related to a new 100 million yuan financing lease with China First Heavy Industries Group Finance Lease Co., Ltd. (First Heavy Industries Lease). The financing, with a term not exceeding three years, involves a sale-and-leaseback arrangement using Zhoukou Company's crane, coke oven, and dry-quenching equipment. This transaction aims to optimize Zhoukou Company's financing structure and support its business development.

The guarantee will be a joint and several liability. This brings Anyang Steel's total guarantees for Zhoukou Company to 342,462.13 million yuan, excluding this new transaction. As of the disclosure date, Anyang Steel's total external guarantees, including those for its controlling subsidiaries, amount to 501,463.128 million yuan, representing 189.42% of its most recently audited net assets. The company has no overdue external guarantees.

Zhoukou Company, established on July 26, 2018, with registered capital of 5.398 billion yuan, reported total assets of 1,366,674.30 million yuan and net assets of 345,384.88 million yuan as of June 30, 2025 (unaudited). Anyang Steel holds a 37.05% stake in Zhoukou Company. This guarantee is subject to approval by Anyang Steel's shareholders.