Chengdu Xingrong environmental announces related party transactions, guarantees

Chengdu Xingrong Environmental announced its subsidiary, Chengdu Water Supply Co., will procure polymeric aluminum chloride through a public tender, with Chengdu Huijin Water Affairs Development Co., a related party, as the winning bidder. The estimated contract value is 95.6409 million yuan (including tax), with a potential increase of up to 15%, bringing the total to 109.9870 million yuan (including tax). This transaction, which is subject to board approval, adds to existing related party transactions totaling 826 million yuan as of December 2, 2025.

Additionally, the company will provide a 12 million yuan joint and several liability guarantee for a 20 million yuan working capital loan sought by its controlling subsidiary, Dongying Jinmo Environmental Technology Co. Chengdu Xingrong Environmental will cover 60% of the guarantee, with Shanghai Diyu Technology Co. covering the remaining 40%. This guarantee, along with other existing guarantees, brings the total external guarantees to 232.75688 million yuan, representing 12.82% of the company's net assets.

The board also approved comprehensive revisions to the company's Articles of Association, Shareholder Meeting Rules, Board of Directors Meeting Rules, Independent Director System, and Related Party Transaction System. These revisions reflect changes in legal and regulatory requirements, including updates to total share capital and registered capital, and the restructuring of the supervisory board's functions. All relevant proposals will be submitted for shareholder approval on December 18, 2025.