Mei Ri Jing Ji Xin Wen·2025-10-29 05:41Core Viewpoint - Datang Power's acquisition of a 50% stake in Anhui Electric Power Co., Ltd. for a symbolic price of 1 yuan reflects the company's commitment to social responsibility despite the financial burden of taking over a heavily indebted entity [1][2]. Financial Overview - As of April 30, 2025, Anhui Electric Power had total assets of approximately 787 million yuan and total liabilities of about 2.473 billion yuan, resulting in negative equity of 1.686 billion yuan and a debt-to-asset ratio of approximately 314% [1][2]. - The acquisition is expected to reduce Datang Power's consolidated net profit by approximately 589 million yuan due to the financial strain from taking on Anhui Electric Power's liabilities [1][5]. Operational Context - Anhui Electric Power, established in 1999, operates two 320MW thermal power units and has faced continuous operational difficulties, reporting a net loss of 270 million yuan in 2023 and an increased loss of 353 million yuan in 2024 [2][4]. - The acquisition allows Datang Power to directly manage Anhui Electric Power's operations, ensuring its role in energy supply during critical periods [3][4]. Strategic Intent - Datang Power emphasizes that the acquisition aims to fulfill social responsibilities and enhance energy supply security, particularly as Anhui Electric Power is the only municipal heating provider in Huainan [3][4]. - The company plans to leverage its expertise in technology and management to improve Anhui Electric Power's operational efficiency and sustainability, aiming to overcome its financial difficulties [5].