XEMC(SH:600416) Shang Hai Zheng Quan Bao·2025-12-15 18:43Core Viewpoint - The company, Xiangtan Electric Machine Co., Ltd., has announced the initiation of non-recourse accounts receivable factoring business with a maximum amount of 1 billion RMB, which can be used cyclically within a 12-month period [2][4]. Group 1: Transaction Overview - The board of directors approved the factoring business proposal on December 15, 2025, allowing the company and its subsidiaries to engage in non-recourse accounts receivable factoring [4]. - The factoring amount will not exceed 1 billion RMB, and the validity period is 12 months from the board's approval date, with individual contracts not exceeding 12 months [2][4]. - The transaction does not constitute a related party transaction or a major asset restructuring [3][5]. Group 2: Factoring Business Details - The factoring business will involve accounts receivable generated from the company's operational activities, which are not pledged or mortgaged to any third party [6]. - The cooperating institutions will be domestic commercial banks and other qualified financial institutions without any related party relationships [7]. - The factoring financing rates will be determined through negotiation based on market price fluctuations at the time of each transaction [4][7]. Group 3: Authorization and Impact - The board has authorized the management to make specific operational decisions regarding the factoring business, including selecting qualified institutions and determining specific amounts for the factoring business [11]. - The initiation of the non-recourse accounts receivable factoring business is expected to enhance asset liquidity, reduce the cost of capital tied up in accounts receivable, accelerate asset turnover, and improve the company's operating cash flow [11].