AVIC Shenyang Aircraft boosts subsidiary's capital for key maintenance project

AVIC Shenyang Aircraft Corporation will invest 393,300,000.00 yuan of its raised funds into its controlled subsidiary, Jilin Aviation Maintenance Co., Ltd. (Jihang Company), for the "Aircraft Maintenance Services Support Capability Enhancement Project." This capital injection will increase Jihang Company's registered capital by 230,000,000.00 yuan, with an additional 163,300,000.00 yuan allocated to capital reserves. Post-transaction, AVIC Shenyang Aircraft's stake in Jihang Company will rise from 52.02% to 66.14%.

This transaction, considered a related party transaction, has been approved by AVIC Shenyang Aircraft’s independent directors and board of directors, with related parties recusing themselves from voting. The total funds raised by AVIC Shenyang Aircraft through its 2023 A-share issuance amounted to 4,000,000,000.00 yuan, with a net amount of 3,969,686,823.57 yuan after deducting issuance expenses.

The valuation for this capital increase, based on an assessment by Beijing Zhonglin Asset Appraisal Co., Ltd., determined Jihang Company's total equity value to be 940,634,100.00 yuan as of December 31, 2024. The investment aligns with the company's strategic development and commitment to advancing key projects.