Dabeinong guarantees for subsidiaries spark concerns over debt

Beijing Dabeinong Technology Group (SZSE: 002385) faces scrutiny as it provides substantial guarantees to its subsidiary companies. A recent filing reveals plans to offer guarantees up to RMB 28.5 million for entities including Huludao Dabeinong, Heilongjiang Dabeinong, and others. This move prompts concerns, given Dabeinong’s already high guarantee levels, with total guarantees exceeding 150% of its net assets.