Fangda Special Steel increases related party transactions, provides new guarantee

Fangda Special Steel Technology Co., Ltd. will increase its daily related party transactions with Ningbo Pinggang Trading Co., Ltd. for 2025, with an estimated new transaction amount of 100 million yuan for the purchase of imported ore. This decision, approved by the company's ninth board of directors, follows market-based pricing and is not expected to create reliance on the related party. Ningbo Pinggang, a wholly-owned subsidiary of Pinggang Shares, is a related party through Fangda Special Steel's controlling shareholder, Jiangxi Fangda Iron & Steel Group Co., Ltd.

Additionally, Fangda Special Steel will provide a joint liability guarantee of 195 million yuan for its wholly-owned grandchild company, Suifenhe Fangda International Trade Co., Ltd., to Harbin Bank Co., Ltd. Suifenhe Fangda, which is 100% indirectly held by the company, has a stable asset-liability ratio below 70% and strong operational performance.

As of the announcement date, Fangda Special Steel's total external guarantees, including this new guarantee and inter-guarantees with Fangda Carbon New Material Technology Co., Ltd., amount to 4.308 billion yuan, representing 46.34% of the company's latest audited net assets. Guarantees for controlling subsidiaries total 3.308 billion yuan, or 35.58% of net assets, with no overdue guarantees reported.