Shengda Forestry extends debt repayment to major shareholder Huabao Trust

Sichuan Shengda Forestry Industry disclosed signing a debt extension agreement with Huabao Trust, its largest shareholder. This related-party transaction extends the repayment deadline for a principal amount of 143,689,500 yuan owed by Shengda Forestry and its subsidiary, Yumulin Jinyuan Natural Gas, to Huabao Trust until December 31, 2030, with an annual interest rate of 8% (simple interest) effective from January 1, 2026. This extension aims to ease the company's financial strain.

The decision followed approvals from the Seventh Board of Directors' Audit Committee, the Seventh Board of Independent Directors' Special Meeting, and the Thirteenth Meeting of the Seventh Board of Directors. Board members Jia Qiudong, Lu Zhou, and Du Xuepeng abstained from voting due to their related-party status.

The debt extension agreement now awaits shareholder approval at the Second Extraordinary General Meeting of Shareholders in 2025, scheduled for December 24, 2025. Shareholders can vote in person or via online platforms provided by the Shenzhen Stock Exchange. This is a crucial step for Shengda Forestry to manage its debt and ensure continued operations.