Zheng Quan Zhi Xing·2025-05-20 12:06Core Viewpoint - China Huadian Group plans to acquire a significant portion of Huadian International Power Co., Ltd.'s assets to enhance its market competitiveness and align with national energy security strategies [6][7][8]. Group 1: Acquisition Details - The acquisition involves China Huadian purchasing 80% equity of Jiangsu Company and other stakes in various subsidiaries, totaling approximately 1,606 MW of conventional energy assets [2][6]. - The transaction will increase Huadian International's installed capacity to about 7,588 MW, improving its market position [6][7]. - The acquisition has received necessary approvals and will not trigger mandatory tender offer obligations due to specific exemptions [5][6]. Group 2: Financial Implications - Post-acquisition, the assets will be consolidated into Huadian International's financial statements, enhancing its asset scale, revenue, and net profit [7][8]. - The transaction is expected to diversify revenue sources and reduce operational risks, contributing to sustainable development [7][8]. Group 3: Shareholder Commitments - China Huadian has committed to a 36-month lock-up period for shares acquired in this transaction, with additional conditions for extending this period based on stock performance [8][9]. - Huadian Hong Kong, as a concerted action party, will also adhere to an 18-month lock-up for its existing shares [8][9]. Group 4: Corporate Structure and Governance - China Huadian Group is a state-owned enterprise with a registered capital of 370 billion RMB, primarily engaged in power generation and related services [3][4]. - The governance structure includes oversight from the State-owned Assets Supervision and Administration Commission, ensuring compliance and strategic alignment with national policies [3][4].