Linyang Energy expands guarantees to support subsidiary growth

Jiangsu Linyang Energy Co., Ltd. has announced new external guarantees totaling CNY 850 million and €25 million to support its subsidiaries' business development and operational needs. The guarantees include CNY 850 million for Qidong Yongqing Energy Storage Technology Co., Ltd. from Shanghai Bank Nanjing Branch. Jiangsu Linyang Energy Technology Co., Ltd. will provide equity pledge guarantees for Yongqing Energy Storage.

Additionally, Linyang Energy will provide guarantees for its wholly-owned subsidiaries for bank guarantee operations with Commerzbank AG Shanghai Branch, with a maximum guarantee amount of €25 million. The total external guarantee amount, including these additions, now stands at CNY 14.235 billion, representing 90.87% of the company's net assets as of the end of 2024. The board approved these guarantees, noting that several beneficiaries, including Yongqing Energy Storage, Jiangsu Linyang New Energy Technology Co., Ltd., and Hebei Linyang Microgrid New Energy Technology Co., Ltd., have asset-liability ratios exceeding 70%.

The company views these guarantees as necessary and reasonable for its stable and long-term development, asserting that the risk is controllable and will not harm the company's or shareholders' interests. There are currently no overdue guarantees.