Shanxi Zhangze Electric Power divests stake, provides guarantees

Shanxi Zhangze Electric Power will transfer a 51% equity interest in Jinkong Electric Shanxi Tongying Thermal Power Co., Ltd. to Jinbei Energy Company for 26,569.14 yuan. This transaction, classified as a related party transaction, aims to enhance asset liquidity and accelerate project construction for the transferee. The transfer price is based on an assessed net asset value of 52,096.35 yuan as of June 30, 2025.

In a separate development, Shanxi Zhangze Electric Power will provide guarantees for its controlled subsidiaries. It will guarantee up to 300m yuan for Shanxi Linfen Thermal Power Co., Ltd.'s factoring financing and up to 200m yuan for Jinkong Electric Shanxi Guodian Wangping Power Generation Co., Ltd.'s loan financing, with both guarantees extending for three years. The total outstanding guarantees, including these, amount to 13.642bn yuan, representing 126.84% of the company’s latest audited net assets.

The board approved both the equity transfer and the guarantees, noting that the guarantees are in line with the companies' operational needs and that the subsidiaries offer counter-guarantees through future income.