COL Digital subsidiaries secure $570m in credit, backed by parent company guarantees

COL Digital Publishing Group (COL Digital) announced that its subsidiaries are applying for a comprehensive credit facility totaling up to 570 million yuan. This initiative, approved by the board on June 10, 2025, aims to support the expanding operational needs of FLAREFLOW PTE. LTD., Beijing Chinese Online Culture Media Co., Ltd., Beijing Chinese Online Education Technology Development Co., Ltd., and Beijing Hongda Yitai Technology Co., Ltd. FLAREFLOW is seeking $1.5 million, while the parent company and its subsidiaries are seeking 100 million yuan from China Minsheng Banking Corp. Beijing Branch and Bank of East Asia (China) Limited Beijing Branch, and 40 million yuan from Shanghai Pudong Development Bank Beijing Branch.

To facilitate these credit lines, COL Digital and its controlling shareholder, Mr. Tong Zhilei, along with the subsidiaries themselves, will provide joint liability guarantees. The board previously approved these guarantees on November 26, 2025. As of the disclosure date, COL Digital and its subsidiaries' total guarantee amount stood at 313.9196 million yuan, representing 31.21% of the company's net assets from the latest audited period, with no overdue guarantees.

All listed subsidiaries—FLAREFLOW PTE. LTD., Education Technology, Culture Media, and Hongda Yitai—are wholly-owned by COL Digital, making the associated guarantee risks controllable. The credit facilities cover principal, interest, penalties, liquidated damages, and enforcement costs, and the guarantees will remain valid until the final maturity date of the credit and related business contracts.