Shanghai Yashi(SH:603329) Zheng Quan Zhi Xing·2025-06-20 09:21Summary of Key Points Core Viewpoint - The company Shanghai Yashi Investment Development Co., Ltd. is providing a counter-guarantee to its controlling shareholder, Hubei International Trade Group Co., Ltd., for a loan aimed at financing the construction of the Eurasian Supply Chain Aktsu Base Project, which is expected to enhance the company's financing capabilities and reduce costs [1][5]. Group 1: Counter-Guarantee Overview - The company plans to apply for a project loan of up to RMB 140 million, with Hubei International Trade Group providing a full joint liability guarantee [1]. - The counter-guarantee provided by the company amounts to RMB 140 million, with a guarantee period of three years [2][4]. - As of the announcement date, the company has provided a total of RMB 672 million in external guarantees, which represents 60.06% of the company's audited net assets as of December 31, 2024 [6]. Group 2: Financial and Operational Context - Hubei International Trade Group has a debt-to-asset ratio exceeding 70%, which is highlighted as a risk factor for investors [1]. - The company has signed a loan agreement with the China Export-Import Bank Hubei Branch for RMB 140 million, with a loan term of nine years [2]. - The company’s financial position includes total assets of approximately RMB 1.71 billion and total liabilities of about RMB 1.34 billion, resulting in a net asset value of around RMB 370 million [3]. Group 3: Board and Shareholder Considerations - The board of directors has approved the counter-guarantee and believes it will support the company's financing needs and overall interests [5][6]. - The company will pay a guarantee fee to Hubei International Trade Group based on market rates, ensuring the transaction is fair and does not harm the interests of shareholders [5].