Shanxi Lanhua Sci-Tech plans bond issuance, adjusts operations

Shanxi Lanhua Sci-Tech Venture announced its plan to issue corporate bonds totaling up to RMB3 billion to professional investors to optimize its financial structure and meet operational funding needs. This comes as the company also reported a change in accounting estimates, extending the depreciation period for fixed assets, effective October 1, 2025. This change is projected to increase the company's 2025 total profit by approximately RMB30 million.

In related developments, the company secured a coal exploration right for the Sitao Block in Yangcheng County, Shanxi Province, covering 15.4903 square kilometers, valid until December 12, 2030, establishing a foundation for future mining rights. Additionally, the company projected its 2026 annual daily related party transactions to be RMB3,313,756,100, including land lease agreements with Lanhua Group.

The planned bond issuance, accounting estimate adjustments, acquisition of mining rights, and projected related party transactions reflect a multi-faceted approach to enhancing financial stability, operational efficiency, and resource acquisition for future growth.