Zhongjin Lingnan plans private placement with controlling shareholder

Shenzhen Zhongjin Lingnan Nonfemet Co., Ltd. proposes a non-public offering of A-shares in 2025 to its controlling shareholder, Guangye Holdings Group, seeking to raise a maximum of 1.5bn yuan. The shares will be subscribed in cash at 3.66 yuan per share, a price adjusted from 3.74 yuan due to a 2024 dividend distribution. The total number of shares to be issued is not to exceed 409,836,065, representing 10.97% of the company's total shares before the issuance.

The proceeds, after deducting issuance expenses, will primarily be used to supplement working capital and repay bank loans, enhancing the company’s capital structure and reducing financial risk. Guangye Holdings Group has committed to a 36-month lock-up period for the subscribed shares. This issuance is not expected to alter the company's controlling shareholder or actual control.

As of March 31, 2025, the company's total assets amounted to 18.3m yuan, with net assets of 5.77m yuan. The net profit for the first quarter of 2025 was 87,066.33 yuan. The company’s financial investment, including transaction-related financial assets and long-term equity investments, totaled 110,444.86 yuan, representing 7.65% of net assets.