Anhui Zhongding to issue convertible bonds for robotics, thermal management

Anhui Zhongding Sealing Parts, a global automotive parts manufacturer, announced its plan to issue convertible bonds not exceeding 2.5 billion yuan. The proceeds will be allocated to key projects, including 1.207 billion yuan for intelligent robot core joint and body manufacturing, 582 million yuan for intelligent thermal management system assembly, 106 million yuan for a new energy vehicle intelligent chassis system R&D and settlement center, and 605 million yuan for working capital. The company affirmed it has not incurred any penalties or regulatory measures from securities authorities or exchanges in the past five years.

The issuance aligns with the company's strategy to enhance its core competitiveness and expand its business scale in high-growth sectors. The company’s financial performance has been stable, with net profits attributable to parent company shareholders reaching 1.2517099 billion yuan in 2024. The board has also proposed a shareholder return plan for 2025-2027, prioritizing cash dividends while considering the potential for immediate return dilution.

In a related move, the company plans to provide a guarantee of up to €60 million for its wholly-owned subsidiary, Austria Druckguss GmbH&Co.KG, to support its daily operations and business development. This guarantee, along with existing and new guarantees, will result in a total external guarantee amount of €7.559 billion, representing 58.27% of the company's latest audited net assets.