Shang Hai Zheng Quan Bao·2025-08-25 20:20Core Viewpoint - Huatai Securities announced the issuance of medium-term notes by its wholly-owned subsidiary Huatai International Financial Holdings Limited, guaranteed by Huatai International, with a total issuance amount of 300 million HKD [1][2]. Group 1: Issuance Details - The medium-term note plan was established on October 27, 2020, with a maximum principal amount of 3 billion USD or equivalent in other currencies [1]. - On August 25, 2025, Huatai International Financial issued medium-term notes amounting to 300 million HKD, which translates to approximately 27.3 million RMB based on the exchange rate of 1 HKD = 0.9108 RMB as of July 31, 2025 [1][2]. - After this issuance, the total guarantee balance provided by Huatai International for the medium-term note plan will be 647 million USD [2]. Group 2: Guarantee Necessity and Reasonableness - The issuance of the medium-term notes is aimed at supporting business development and supplementing daily operational funds [2]. - Huatai International Financial has an asset-liability ratio exceeding 70%, but the company maintains 100% control over it, allowing for effective monitoring of its debt repayment capacity, thus ensuring manageable guarantee risks [2]. Group 3: Internal Decision-Making Process - The board of directors approved the general authorization for domestic and foreign debt financing tools on December 31, 2020, and this authorization was extended until the 2025 annual general meeting [4]. - The board of Huatai International recently approved the proposal to provide guarantees for the medium-term notes issued by Huatai International Financial under the medium-term note plan [4]. Group 4: Cumulative Guarantee Situation - As of the announcement date, the total amount of guarantees provided by the company and its subsidiaries is 36.749 billion RMB, all of which are guarantees for subsidiaries [4]. - The total guarantees provided to controlling subsidiaries amount to 32.063 billion RMB, representing 19.17% and 16.73% of the company's latest audited net assets, respectively [4].