Linglong Tyre guarantees ¥100m credit line for subsidiary

Shandong Linglong Tyre Co., Ltd. recently announced a guarantee for its wholly-owned subsidiary, involving a credit line of ¥100m plus interest and other payables with China Minsheng Bank Corporation Limited, Changchun Branch. This guarantee does not include counter-guarantees and is within the scope of the company's previously approved annual guarantee limit.

The total outstanding guarantees by Shandong Linglong Tyre and its controlled subsidiaries currently amount to ¥13.27bn, representing 61.21% of the company's net assets as of the latest audited period. The company emphasized that this move is essential for its subsidiary's business operations and continued development, aligning with its strategic interests.

The guarantee is a joint liability, with a maximum principal amount of ¥100m, and the guarantee period extends three years from the debt fulfillment deadline. The company confirmed that the subsidiary maintains sufficient solvency, and there are no overdue guarantees by either the company or its wholly-owned subsidiaries.