Hengyuan Coal & Power to spin off Qianyingzi Power Generation

On November 7, 2025, Anhui Hengyuan Coal Industry And Electricity Power's board approved the spin-off of its subsidiary, Qianyingzi Power Generation. This move aims to optimize management, allocate resources, improve operational efficiency, and foster synergistic business development. Following the spin-off, Qianyingzi Power Generation will continue to exist, and a new subsidiary, Anhui Qianyingzi (Second) Power Generation Co., Ltd., will be established.

The spin-off will divide Qianyingzi Power Generation's assets and liabilities based on an October 1, 2025, valuation. Qianyingzi Power Generation will retain its first-phase project operations, while the new company will undertake the second-phase expansion, including a 1x1000MW coal-fired power generation project. Post-spin-off, Qianyingzi Power Generation's registered capital will be reduced to CNY 62,400.00, and the new company's registered capital will be CNY 94,800.00. Both entities will maintain a 50/50 ownership structure between Anhui Provincial Wenergy Co., Ltd. and Anhui Hengyuan Coal Industry And Electricity Power.

The company anticipates that the spin-off will not negatively impact its operations or the interests of its shareholders. However, the transaction requires approval from market regulatory authorities.