Group 1 - Jiangsu Rural Commercial Bank has promoted the "Loan + Equity Option" model since the beginning of the year to better support financing for technology-based and startup enterprises [1][2] - As of the end of August, 9 rural commercial banks have signed and implemented 17 "Loan + Equity Option" transactions [1] - The "Loan + Equity Option" allows banks to provide loans while obtaining the right to purchase equity under specific conditions, linking debt and equity organically [1] Group 2 - The "Loan + Equity Option" reduces financing costs for enterprises, enabling them to invest in new technologies and production lines without financial concerns [1] - Jiangsu Teng Tian Industrial Furnace Co., Ltd. received a loan of 5 million yuan in April, along with an equity option agreement, which was recorded at the provincial equity trading center [1] - As demand for this business model increases, Jiangsu Rural Commercial Bank is collaborating with Jiangsu Equity Trading Center to standardize the registration of "Loan + Equity Option" transactions [2]

Core Viewpoint - The implementation of the "loan + equity option" model by Jiangsu rural commercial banks is enhancing financial support for technology-driven enterprises, facilitating their growth and innovation [1][2][8]. Group 1: Policy and Financial Innovations - The "loan + equity option" model is a breakthrough for Jiangsu rural commercial banks, allowing them to provide comprehensive financial support throughout the lifecycle of technology enterprises [1][2]. - As of the end of August, nine rural commercial banks in Jiangsu have signed 17 "loan + equity option" agreements, with seven banks completing 13 standardized filings at the Jiangsu Equity Exchange Center, accounting for 65% of the total filings during the same period [1][2]. Group 2: Case Studies of Successful Implementation - Suzhou Rural Commercial Bank executed the first "loan + equity option" agreement in Jiangsu, providing a credit loan of 4 million yuan to a company under the Chinese Academy of Sciences, along with an equity option to purchase 2 million yuan worth of shares [3]. - Reed (Suzhou) Electronic Technology Co., Ltd. utilized the "loan + equity option" model to secure 500,000 yuan in equity rights, which facilitated their external financing and share buyback, allowing the bank to exit the investment [3][4]. - Leming Pharmaceutical (Suzhou) Co., Ltd. received 200,000 yuan in "talent loans" and secured an equity option for 500,000 yuan, which helped them bridge the funding gap during their product development phase [5][6]. Group 3: Broader Industry Impact - The "loan + equity option" model is not only aiding individual companies but also driving innovation in the financial services sector, allowing banks to transition from mere fund providers to comprehensive service providers for enterprises [9][10]. - Jiangsu rural commercial banks are actively building networks with venture capital (VC), private equity (PE), and other financial institutions to enhance their service offerings and project selection capabilities [10][11].