Jiu Steel Hongxing shareholders approve key resolutions, project borrowing

Gansu Jiu Steel Group Hongxing Iron & Steel Co., Ltd. held its second extraordinary general meeting of shareholders on November 3, 2025, where all proposed resolutions were passed. Approvals included the cancellation of the supervisory board and amendments to the articles of association, revisions to the rules of procedure for shareholders' meetings and board of directors, and the independent director work system. Shareholders also approved an increase in the comprehensive credit line from banks, providing guarantees for its wholly-owned subsidiary, and applying for project loans from financial institutions. The company also confirmed adjustments to its 2025 daily related-party transaction forecasts.

The company further announced a related-party transaction involving a joint application with its affiliate, Hongsheng Electric Heating Company, for a project loan from financial institutions. This loan, not exceeding 190 million yuan with a term of up to 10 years (including a one-year grace period), is earmarked for the "Jiu Steel Surplus Gas Comprehensive Utilization and Energy Saving and Carbon Reduction Project." Hongsheng Electric Heating Company will serve as the primary borrower, with Gansu Jiu Steel Group Hongxing Iron & Steel as a co-borrower, and funds will be disbursed directly to the company's account.

The related-party transaction was approved by the board of directors, with related directors abstaining, and by the independent directors, who noted the transaction's benefit in enhancing financing efficiency and reducing financial costs without harming shareholder interests. Hongsheng Electric Heating Company, a wholly-owned subsidiary of Jiu Steel Group, reported total assets of 11.695 bn yuan and net assets of 4.459 bn yuan as of December 31, 2024.