Huaming Power Equipment secures $26.5 bn in guarantees for subsidiary

Huaming Power Equipment Co., Ltd. has entered into two maximum guarantee contracts, totaling $26.5 billion, for its wholly-owned subsidiary, Shanghai Huaming Power Equipment Manufacturing Co., Ltd. On December 9, 2025, Huaming Equipment signed a maximum guarantee contract with China CITIC Bank Co., Ltd. Shanghai Branch, securing a credit limit of $15 billion. Concurrently, it signed another maximum guarantee contract with Bank of China Ltd. Shanghai Putuo Sub-branch for a credit limit of $11.5 billion, both providing joint and several liability guarantees for Shanghai Huaming's financing.

These guarantees fall within the previously approved $130 billion total guarantee limit for subsidiaries with asset-liability ratios below 70%, as authorized by the company's 2024 annual general meeting. Following these latest guarantees, Huaming Equipment's total guarantee balance for Shanghai Huaming now stands at $915 million, utilizing $695 million of the 2025 guarantee quota.

As of the announcement date, the total guarantee amount for Huaming Equipment and its wholly-owned and controlled subsidiaries is $172 billion, with actual guarantees amounting to $64.78 billion. This represents 20.36% of the company's net assets as per its 2024 audited financial statements. No external guarantees are provided, and there are no overdue guarantees, litigation, or adjudicated losses related to external guarantees.