Chanhen Chemical guarantees subsidiary loan for renewable energy push

Guizhou Chanhen Chemical Corporation (Chanhen Chemical) announced it has provided a guarantee for a RMB150,000,000.00 credit facility granted to its subsidiary, Hengxuan New Energy Materials (Hengxuan New Energy), by Guiyang Bank Fuquan Branch. The credit facility runs from November 4, 2025, to November 3, 2028. This guarantee is part of a larger RMB800,000,000.00 financing package approved for subsidiaries with asset-liability ratios exceeding 70% in 2025.

Under the maximum guarantee contract, Chanhen Chemical and Nanjing Gotion High-Tech Holdings Group Co., Ltd. (Nanjing Gotion), another shareholder of Hengxuan New Energy, jointly provide a maximum guarantee liability based on their equity proportions. Chanhen Chemical’s guarantee share is 60% of the guaranteed debt, equating to RMB90,000,000.00, while Nanjing Gotion's share is 40%, or RMB60,000,000.00. Both parties bear joint and several liability for the guarantee.

The guarantee covers the principal amount of the credit facility, including interest, penalties, and expenses incurred by the creditor in realizing the debt and security interests. The guarantee period extends for five years from the maturity date of the main contract obligations.