Zheng Quan Zhi Xing·2025-08-29 10:24Summary of Key Points Core Viewpoint - The company, Jiangsu Tiannai Technology Co., Ltd., is increasing the guarantee limit for its subsidiary, Sichuan Tiannai Jincheng Material Technology Co., Ltd., to support its financing needs for the "Tiannai Jincheng Cathode Material Production Base Project (Phase I)" [1][2][6]. Group 1: Guarantee Overview - The company plans to provide a guarantee of up to RMB 210 million for Tiannai Jincheng, while its partner, Shanghai Jinyuansheng New Energy Materials Co., Ltd., will provide a guarantee of up to RMB 90 million [2][3]. - The total project loan credit applied by Tiannai Jincheng is not to exceed RMB 300 million, with a loan term of up to 8 years [1][2]. Group 2: Internal Decision Process - The company's board of directors approved the increase in the guarantee limit on August 29, 2025, which falls within the board's approval authority and does not require shareholder meeting approval [3][6]. - The decision is based on the operational needs of Tiannai Jincheng and aligns with the company's overall development strategy [6][7]. Group 3: Financial Status of the Subsidiary - As of June 30, 2025, Tiannai Jincheng's total assets were RMB 434.89 million, with total liabilities of RMB 216.21 million, indicating a healthy financial position [5]. - The company reported a net profit of RMB -3.15 million for the first half of 2025, showing a slight improvement compared to the previous year's loss [5]. Group 4: Necessity and Reasonableness of the Guarantee - The increase in the guarantee limit is deemed necessary to enhance Tiannai Jincheng's financing efficiency and support the project's progress, which is beneficial for the company's long-term development [6][7]. - The company maintains effective control over the subsidiary's operations and financial status, mitigating potential risks associated with the guarantee [6][7]. Group 5: Review and Approval - The board of directors has unanimously agreed that the increase in the guarantee limit is in the best interest of the company and its shareholders, considering the positive market outlook for the subsidiary's business [6][7].