RiseSun subsidiary secures new financing with inter-company guarantees

RiseSun Real Estate Development Co., Ltd. has disclosed that its wholly-owned subsidiary, Huangshan Risesun Jinzhai Branch, will continue its cooperation with Huangshan Taiping Rural Commercial Bank Co., Ltd. for a business facility of CNY 3.65 million. This financing is supported by joint liability guarantees from the company’s wholly-owned subsidiaries, Risesun Health & Tourism Investment Co., Ltd. and Huangshan Risesun Real Estate Development Co., Ltd. Additionally, Huangshan Risesun Real Estate Development Co., Ltd. will provide collateral using its own assets. The total guarantee amount will not exceed CNY 4 million, with a guarantee period not exceeding 53 months.

The board of directors approved this transaction as part of the company's 2025 annual guarantee plan. They noted that Huangshan Risesun Jinzhai Branch is a wholly-owned subsidiary with low operational risk. The guarantees are intended to support the subsidiary's development and are not deemed detrimental to the company's or shareholders' interests, given the subsidiary's expected repayment capacity.

As of the disclosure date, the company's total actual guarantee amount is CNY 44.146 billion, representing 297.17% of its latest audited net assets. Guarantees provided to external parties not consolidated in the financial statements amount to CNY 7.755 billion, or 52.20% of the latest audited net assets. The company's overdue guarantee amount stands at CNY 12.488 billion.