Montnets guarantees RMB 200m credit line for subsidiary

Montnets Rongxin Technology Group Co., Ltd. (Montnets) announced that its wholly-owned subsidiary, Shenzhen Montnets Technology Development Co., Ltd., has secured a maximum credit line of RMB 200 million from Industrial Bank Co., Ltd. Shenzhen Branch. Montnets, along with its subsidiary Shenzhen Wulian Tianxia Technology Co., Ltd., has signed a "Maximum Guarantee Contract" for this facility, valid for one year. This guarantee falls within the RMB 250 billion total guarantee limit approved by Montnets' shareholders for its subsidiaries in June 2025.

As of the announcement date, Montnets' total guarantees for its subsidiaries amounted to approximately RMB 183.06 billion, representing 107.00% of the company's latest audited net assets. Guarantees for subsidiaries with a debt-to-asset ratio above 70% currently stand at RMB 0 million.

The total cumulative external guarantees by Montnets and its wholly-owned or controlled subsidiaries amounted to RMB 194.618 billion, or 113.75% of the company's latest audited net assets. Shenzhen Montnets, established in 2001 with registered capital of RMB 20 billion, reported total assets of RMB 377.587.84 million and net assets of RMB 137.347.76 million as of December 31, 2024. The subsidiary recorded a net profit of RMB 6.608.04 million in 2024, a significant turnaround from a loss of RMB 2.959.95 million in 2023.