Shuanghuan Driveline guarantees 12m yuan loan for subsidiary

Zhejiang Shuanghuan Driveline Mechanical Co., Ltd. announced the signing of a guarantee contract with the Agricultural Bank of China, Huai'an Chuzhou Sub-branch, for a loan to its wholly-owned subsidiary, Jiangsu Shuanghuan Gear Co., Ltd. The guarantee provides joint and several liability for a principal amount of 12m yuan. This action falls within the scope of the 4.31bn yuan financing guarantee limit approved by the company's seventh board of directors on April 23, 2025, and the 2024 annual shareholders' meeting on May 16, 2025.

The guarantee covers the principal, interest, penalties, liquidated damages, and other related expenses incurred by the debtor under the loan agreement. The guarantee period extends for three years from the expiry of the debt performance period stipulated in the main contract.

As of the disclosure date, the total outstanding guarantees provided by the company and its holding subsidiaries amount to 163,982,250 yuan, representing 18.60% of the company's net assets as of December 31, 2024, based on audited figures. All existing guarantees are inter-company guarantees within the consolidated statement scope, with no overdue or litigation-related guarantees.