TBEA(SH:600089) Zheng Quan Zhi Xing·2025-06-18 10:45Overview - The core point of the announcement is that TBEA Co., Ltd. has approved a capital increase of 1 billion RMB from Agricultural Bank of China Financial Asset Investment Co., Ltd. to its subsidiary, TBEA Xinjiang New Energy Co., Ltd. This capital injection aims to reduce the subsidiary's debt ratio and support its operational capital needs [2][4][14]. Transaction Summary - The capital increase of 1 billion RMB will primarily be used for repaying loans from financial institutions [2][9]. - The increase in registered capital will raise TBEA Xinjiang New Energy's capital from 522.84 million RMB to 570.01 million RMB, with the new share price set at 2.12 RMB per share [9][14]. - The decision was made during the sixth temporary board meeting of 2025, with unanimous approval from the board members [3][9]. Investor Profile - Agricultural Bank of China Financial Asset Investment Co., Ltd. was established on August 1, 2017, with a registered capital of 20 billion RMB. It focuses on debt-to-equity swaps and restructuring of bank debts [8][9]. - TBEA Xinjiang New Energy Co., Ltd. was founded on August 30, 2000, with a registered capital of 522.84 million RMB, specializing in wind and solar power projects [8][9]. Agreement Details - The agreement allows Agricultural Bank of China Financial Asset Investment to nominate one director to the board of TBEA Xinjiang New Energy [9][10]. - The expected annual distributable profit for TBEA Xinjiang New Energy during Agricultural Bank's holding period is set at no less than 863 million RMB, with a minimum dividend payout ratio of 70% [11][14]. - The exit strategy for Agricultural Bank includes a potential stock repurchase by TBEA Xinjiang New Energy or its parent company within 60 months of the investment [12][14]. Impact on the Company - The capital increase is expected to enhance TBEA Xinjiang New Energy's financial stability, reduce its debt ratio, and broaden its financing channels, thereby supporting the growth and optimization of TBEA's renewable energy business [14][15].