Inner Mongolia MengDian to acquire wind power assets in significant expansion

Inner Mongolia MengDian HuaNeng Thermal Power Corp (SSE:600863) is set to acquire 70% equity in ZhengLanQi Wind Power and 75.51% equity in BeiFang DuoLun from BeiFang United Power Limited Liability Company for a total consideration of 533,615.66 yuan. The transaction will be settled with a cash payment of 266,550.54 yuan and 771,864,503 newly issued shares valued at 267,065.12 yuan, priced at 3.46 yuan per share. The company will also raise up to 265,000.00 yuan in supporting funds from no more than 35 specific investors to cover cash payments, intermediary fees, and related taxes. This acquisition, approved by the board of directors and shareholders, is expected to enhance the company's asset scale and profitability by integrating wind power resources.

BeiFang United Power, the controlling shareholder, and its related parties have committed to a lock-up period for the shares received in this transaction, with 60 months for newly issued shares and 18 months for existing shares. The deal is subject to approval from the Shanghai Stock Exchange and the China Securities Regulatory Commission. ZhengLanQi Wind Power and BeiFang DuoLun generated net profits of 64,930.39 yuan and 34,409.50 yuan in 2024, respectively.

The transaction has been adjusted due to changes in value-added tax policies affecting wind power projects, leading to a revised valuation date of December 31, 2024, and updated transaction prices. The adjustments ensure compliance with regulatory requirements and reflect the new tax environment.