Xiangtan Electric secures raised funds with oversight agreements

Xiangtan Electric Manufacturing Company Limited (SSE:600416) has announced the signing of tripartite and quadripartite supervision agreements for its raised funds, following a successful capital raise of CNY 1,999,999,988.70. After deducting non-tax expenses of CNY 20,705,420.73, the net proceeds total CNY 1,979,294,567.97. The funds' receipt was verified by Lihui Certified Public Accountants (Special General Partnership) on September 9, 2025.

These agreements, signed with various banks including China Construction Bank, Industrial and Commercial Bank of China, and Bank of China, as well as sponsor Guotai Junan Securities Co., Ltd., ensure the proper oversight and management of the capital. As of September 17, 2025, a total of CNY 1,982,399,988.80 of the raised funds is held in designated special accounts.

The agreements, which align with regulatory requirements, stipulate that these special accounts are exclusively for specific projects, including the aerospace electrical system and maglev bearing high-speed motor system development, and for supplementing working capital. The sponsor will conduct ongoing supervision, including semi-annual on-site inspections, and will have access to account information to monitor the use of funds.