Yunnan Energy guarantees $200m credit line for Shanghai Energy

Yunnan Energy New Material Co., Ltd. (the company) has announced it provided a guarantee for its holding subsidiary, Shanghai Energy New Material Technology Co., Ltd. (Shanghai Energy).

The company signed a "Maximum Guarantee Contract" with China Minsheng Banking Corp., Ltd., Shanghai Branch, providing a joint and several liability guarantee for a comprehensive credit line of RMB 200,000,000.00 granted to Shanghai Energy. This action follows the approval of the company's 2025 consolidated financial statement guarantee limit at its fifth board of directors meeting on December 27, 2024, and subsequent shareholder approval on January 16, 2025.

As of the disclosure date, the total approved guarantee amount for the company and its subsidiaries stands at RMB 6,000,000,000.00, representing 245.19% of the company's net assets attributable to shareholders as of the latest audited period. The actual executed guarantee amount totals RMB 3,887,946,980.00, which is 158.88% of the latest audited net assets attributable to shareholders.

The guarantee covers the principal, advances, payments, interest, penalties, compound interest, liquidated damages, and compensation, along with expenses for realizing creditor and guarantee rights. The guarantee period is three years from the expiry date of the debt performance period. The company confirmed there are no other external guarantees, overdue external guarantees, guarantees involving lawsuits, or situations where losses should be borne due to adverse judgments in guarantee-related cases.