Hengyi Petrochemical extends loan, boosts related-party transactions

Hengyi Petrochemical will extend an entrusted loan of up to 1,078 million yuan to its associate, Yisheng New Material, for another year, with the interest rate set at the five-year LPR published by the People’s Bank of China. This extension aims to ensure stable operations for Yisheng New Material, which will also receive 1,122 million yuan in entrusted loans from its other shareholders. For the period of January to September 2025, Yisheng New Material reported an operating income of 2,152,665.32 yuan and a net profit of -11,782.88 yuan.

Separately, Hengyi Petrochemical projects an increase in its 2025 related-party transactions. It anticipates an additional 350 million yuan in crude oil purchases from its related party, Hong Kong Yitian Co., Ltd., bringing the total expected purchases for the year to 1,300 million yuan. This adjustment is driven by the company's growth and operational efficiency needs, reinforcing supply chain stability and enhancing competitiveness.

Furthermore, Hengyi Petrochemical has decided not to revise the conversion price of its "Hengyi Convertible Bond" for the next six months, despite triggering the downward revision clause. The company’s board cites various market factors and confidence in its long-term value for this decision.