Securities Abbreviation: ST Meihua
Securities Code: 000667
Announcement Number: 2023-28
Meihua Real Estate Group Co., Ltd. (hereinafter referred to as "the Company") and all members of the board guarantee that the content of this information disclosure is true, accurate, and complete, with no false records, misleading statements, or significant omissions.
Special Risk Reminder: After this guarantee is provided, the Company's cumulative external guarantee balance will be 3.027 billion RMB, of which the guarantee balance for consolidated entities is 2.937 billion RMB, and the counter-guarantee balance for non-consolidated entities is 90 million RMB. The Company has guaranteed an amount of 2.937 billion RMB for entities with a debt-to-asset ratio exceeding 70%, which accounts for 99.91% of the latest audited net assets of the listed company, reminding investors to pay attention to related risks.
I. Overview of Transactions and Guarantees
In April 2020, the Company's wholly-owned subsidiary, Mingliu Real Estate Wuhan Jiangbei Co., Ltd. (hereinafter referred to as "Wuhan Jiangbei"), through its wholly-owned subsidiary Wuhan Meihua Jincheng Real Estate Co., Ltd. (hereinafter referred to as "Meihua Jincheng"), obtained a housing development loan from the Industrial and Commercial Bank of China Wuhan Huangpu Branch (hereinafter referred to as "ICBC Huangpu Branch") for the construction of the Meihua Xiangyu Huajing K11 project Phase II, with a loan amount of 480 million RMB and a loan term of 24 months. The Company provided a joint liability guarantee for this loan; Meihua Jincheng provided mortgage guarantees with its project under construction; and Wuhan Jiangbei pledged 100% of its equity in Meihua Jincheng as collateral. For specific details, please refer to the announcement titled "Announcement on Providing Guarantees for Wholly-Owned Subsidiary Financing" disclosed on April 30, 2020 (Announcement Number: 2020-10).
II. Progress of the Transaction
In April 2022, the Company signed a "Loan Extension Agreement" with ICBC Huangpu Branch, agreeing to extend the repayment period of the remaining unpaid loan of 170 million RMB to April 27, 2023. Recently, the Company and ICBC Huangpu Branch reached a consensus to extend the repayment period of the remaining unpaid loan of 169 million RMB to April 26, 2024. The Company and all guarantors agreed to continue providing guarantees for all obligations and responsibilities under the "Real Estate Loan Contract" and "Loan Extension Agreement." As of the date of this announcement, the outstanding loan balance is 168 million RMB.