Zhejiang Hailiang to redeem convertible bonds, guarantees update

Zhejiang Hailiang is proceeding with the early redemption of its "Hailiang Convertible Bonds" (stock code: 128081). The last conversion date for these bonds is September 26, 2025, after which unconverted bonds will cease to be eligible for conversion. The redemption price is set at 101.710 yuan per bond, including accrued interest. This decision follows the triggering of conditional redemption terms, with the company's stock price meeting the 130% threshold of the current conversion price for 15 trading days within a 30-trading-day period, ending on August 25, 2025. The bonds will stop trading on September 24, 2025, and will be delisted after the redemption is completed on September 29, 2025.

In a related development, Zhejiang Hailiang has provided an update on its guarantees for wholly-owned subsidiary Chongqing Hailiang. The company recently extended a joint liability guarantee of 100 million yuan for a comprehensive credit line with the Bank of China Chongqing Jiangjin Branch. This brings the total guarantee balance for Chongqing Hailiang to 862 million yuan, remaining within the approved limit.

As of August 2025, Zhejiang Hailiang’s total external guarantee balance stands at 2.91 billion yuan, representing 20.26% of the company's net assets attributable to the parent company as of the 2024 audited figures. The consolidated guarantee balance for the company and its subsidiaries totals 6.603 billion yuan, or 45.96% of the parent company's net assets.