The company and all members of its board of directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and that there are no false records, misleading statements, or significant omissions.
Key Information Highlights:
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Giant Wheel Intelligent Equipment Co., Ltd. (hereinafter referred to as the "Company") and its wholly-owned subsidiaries have provided financial assistance to its indirectly invested company, OPS-Ingersoll Funkenerosion GmbH (hereinafter referred to as "OPS Company"), from 2011 to 2024. The Company plans to sign supplementary agreements to the existing loan contracts with OPS Company: "Agreement on Deferral of Loan Interest Payment, Interest Rate Adjustment, and Term Extension" and "Agreement on Exemption of Loan Interest from April 1, 2025, to March 31, 2026." Given OPS Company's current financial and liquidity situation, to ensure its continued business operations, the Company agrees to defer all accrued interest payments on the financial assistance provided by the Company, adjust the interest rate, extend the loan term, and exempt the loan interest from April 1, 2025, to March 31, 2026, to ensure working capital for its operations.
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On August 17, 2026, the Company held its sixth meeting of the ninth board of directors, which deliberated and approved the "Proposal on the Progress of Providing Financial Assistance to Overseas Invested Companies." This matter still requires approval from the Company's shareholders' meeting.
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The Company will continue to closely monitor OPS Company's operating conditions and strengthen its oversight of OPS Company's financial status to ensure the safety of the Company's funds.
I. Overview of Financial Assistance Matters
- On October 14, 2011, the eighth meeting of the fourth board of directors of the Company deliberated and approved the "Proposal on Providing Financial Assistance to German Oerlikon Machine Tool Co., Ltd." It was agreed that the Company (including its subsidiaries) would provide financial assistance totaling approximately EUR 3 million to OPS Company through OPS Holding, with a term of eight years (automatically extended for one year upon expiration unless terminated by written notice in accordance with regulations), charging a usage fee at an annual interest rate of 6%. In accordance with the aforementioned board resolution and the agreements signed by the Company (including its wholly-owned subsidiary Greatoo (Europe) Holding S.à r.l., hereinafter referred to as "Greatoo Europe"), the Company, together with Hong Kong Lifeng (Group) Co., Ltd. (including its subsidiaries, hereinafter collectively referred to as "Hong Kong Lifeng") through OPS Holding, provided financial assistance totaling approximately EUR 600.424 million to OPS Company from the end of 2011 to the beginning of 2012. Of this amount, the Company provided EUR 300.424 million and Hong Kong Lifeng provided EUR 3 million, and a usage fee was charged as agreed. Subsequently, with the consent of all parties, OPS Company prepaid EUR 1 million of the financial assistance provided by the Company and Hong Kong Lifeng through OPS Holding ahead of schedule. Therefore, the outstanding balances of financial assistance provided by the Company and Hong Kong Lifeng to OPS Company through OPS Holding are EUR 200.424 million and EUR 2 million, respectively. According to the original agreements signed by all parties, the aforementioned financial assistance was originally due on December 20, 2020.
On December 11, 2020, the ninth meeting of the seventh board of directors and the seventh meeting of the seventh supervisory board of the Company deliberated and approved the "Proposal on Extension of Financial Assistance Provided by Wholly-Owned Subsidiary to Invested Company and Related Party Transaction." It was agreed to extend the expiring financial assistance of EUR 200.424 million provided by the Company's wholly-owned subsidiary Greatoo (Europe) Holding S.à r.l. through OPS Holding to the invested company OPS Company to April 20, 2021. The remaining terms of the original loan agreement remain unchanged.