Swan Cotton Machinery(SH:603029) Zheng Quan Zhi Xing·2025-07-04 16:22Core Viewpoint - The company, Shandong Swan Cotton Machinery Co., Ltd., has announced a guarantee for a bank loan of 20 million yuan for its wholly-owned subsidiary, Xinjiang Swan Modern Agricultural Machinery Equipment Co., Ltd. This guarantee is part of the company's strategy to support its subsidiary's financing needs and ensure smooth operational activities [1][4]. Summary by Sections 1. Guarantee Overview - The company has signed a guarantee contract with Urumqi Bank for a one-year working capital loan of 20 million yuan for its subsidiary [2]. - The guarantee is a joint liability guarantee with a term of three years from the loan's maturity date [2]. 2. Internal Decision-Making Process - The company held board meetings on April 8 and April 30, 2025, to approve the guarantee and the anticipated bank credit limit for the year [2]. - The total guarantee amount for Xinjiang Swan before this guarantee was 10 million yuan, leaving a usable limit of 10 million yuan prior to this guarantee [2]. 3. Subsidiary Information - Xinjiang Swan is a wholly-owned subsidiary of the company, established on September 16, 2010, with a registered capital of 100 million yuan [3]. - The subsidiary's total assets as of March 2025 were approximately 452.41 million yuan, with total liabilities of about 271.80 million yuan [3]. 4. Necessity and Reasonableness of the Guarantee - The guarantee is deemed necessary to meet the subsidiary's funding needs, enhancing financing efficiency and ensuring smooth operations [4]. - The subsidiary has stable operations and good credit status, allowing the company to effectively monitor and manage the associated risks [4]. 5. Board Opinion - The board has confirmed that the guarantee falls within the approved credit limit and is necessary for the subsidiary's operations, with manageable overall risk [4]. 6. Cumulative Guarantee Situation - As of the announcement date, the total external guarantee amount by the company and its subsidiaries is approximately 394.48 million yuan, accounting for 44% of the latest audited net assets [4]. - The specific guarantee amount for the subsidiary's bank credit is 20 million yuan, representing 2.23% of the latest audited net assets [4].