Securities code: 601669 stock abbreviation: Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) Announcement No.: pro 2022-014
Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669)
About carrying out for Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) group Leasing Co., Ltd
Announcement on providing balance supplement for asset securitization business
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents. Important content tips:
The party accepting the difference supplement: the special plan for green lease asset support of phase 1 of power construction lease (Continued) (hereinafter referred to as the "special plan").
The amount of this difference supplement: the total scale of the first issuance of the special plan shall not exceed RMB 1.162 billion; The company shall make up the difference between the funds in the special plan account that are insufficient to pay the relevant taxes and expenses payable and the sum of the expected income and principal of priority asset-backed securities.
Up to now, the company and its wholly-owned and holding subsidiaries have no overdue external guarantee.
1、 Overview
Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) (hereinafter referred to as "the company") held the 38th meeting of the third board of directors and the 2020 annual general meeting of shareholders on April 23, 2021 and May 27, 2021 respectively. The board of directors and the general meeting of shareholders of the company considered and adopted the proposal on the issuance and credit enhancement of asset securitization products in Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) 2021, It is agreed to issue a letter of commitment to increase credit for the managers of asset securitization products issued by the company and its subsidiaries within the total amount of no more than RMB 23 billion according to the product structure and issuance needs, and provide credit enhancement such as balance supplement and liquidity support for asset securitization products according to the provisions of the letter of commitment. The specific content of credit enhancement shall be subject to the actually issued letter of commitment to increase credit, The total amount of credit enhancement shall not exceed 23 billion yuan, and the total principal balance of asset-backed securities to be cashed corresponding to credit enhancement shall not exceed 40 billion yuan. The general meeting of shareholders of the company authorizes the board of directors and further authorizes the chairman of the company (there is no need to convene the board of directors to review relevant authorization matters at that time) to deal with relevant credit enhancement matters. The authorization period is from the date when the above proposal is approved by the general meeting of shareholders of the company to the date when the annual general meeting of shareholders of the company in 2021 is held.
The chairman of the company made a decision on November 19, 2021 and agreed to provide credit enhancement for the initial issuance of the special plan initiated by the company's wholly-owned subsidiary Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) group Leasing Co., Ltd. as the original equity holder, That is, it is agreed that the company shall make up the difference between the funds in the special plan account that are insufficient to pay the relevant taxes and expenses payable and the sum of the expected income and principal of priority asset-backed securities, and the specific contents of making up the difference shall be subject to the transaction documents finally signed by the company; With regard to the credit enhancement matters involved in the subsequent issuance under the special plan for shelf storage with a total issuance scale of no more than 3 billion yuan, the company will perform the corresponding decision-making procedures in accordance with the internal system.
After obtaining the letter on no objection to the listing and transfer of asset-backed securities of the special plan for leased asset support of power construction leasing phase 1-5 (Szh [2021] No. 2032) issued by Shanghai Stock Exchange, the special plan is issued in Shanghai Stock Exchange, The expected maturity date of No. 1 priority asset-backed securities (Continued) issued for the first time is 360 days from the establishment date of the special plan (if the day is not a working day, it will be postponed to the next working day accordingly). The secondary asset-backed securities have no fixed term and terminate on the termination date of the special plan. The actual total issuance amount was RMB 1.162 billion, of which the total issuance amount of priority asset-backed securities (Continued) was RMB 1.092 billion and the total issuance amount of subordinated asset-backed securities was RMB 70 million.
2、 Basic information of special plan
The special plan for shelf storage is fully called "special plan for supporting leased assets of power construction leasing phase 1-5". The plan manager is Shanghai Guotai Junan Securities Co.Ltd(601211) Securities Asset Management Co., Ltd., the original owner is Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) group Leasing Co., Ltd., and the basic assets are the rent claim and other rights and subsidiary security interests enjoyed by the original owner to the lessee according to the financing lease contract, The total issuance scale of the special shelf storage plan is no more than 3 billion yuan, the initial issuance scale of the special plan is 1.162 billion yuan, the duration of the special plan is no more than 12 years, the issuance interest rate is determined according to the market environment at the time of issuance, and the issuance object is qualified investors and no more than 200 people, The way of credit enhancement is that the company issues the difference payment commitment letter to the plan manager and undertakes the difference supplement, priority and sub stratification of asset-backed securities and other necessary credit enhancement measures.
3、 Main contents of the commitment letter of differential payment
The company issued the commitment letter on balance payment of phase 1 green lease asset support special plan of power construction leasing to Shanghai Guotai Junan Securities Co.Ltd(601211) Securities Asset Management Co., Ltd., the plan manager of the special plan, which mainly includes the following contents:
1) Make up the difference: the company undertakes the obligation to make up the difference between the sum of the expected income and principal of priority asset-backed securities when the funds in the special plan account are insufficient to pay the taxes and expenses of the special plan.
2) Commitment period for making up the difference: the commitment letter shall take effect from the date when the company signs and the special plan is established, and shall be terminated after all expected returns and outstanding principal balance of priority asset-backed securities under the special plan are paid off. 4、 Opinions of the board of directors and persons authorized by the board of directors
According to the resolution of the 38th meeting of the third board of directors of the company and the decision of the chairman made on November 19, 2021, Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) group Leasing Co., Ltd. set up a special plan to carry out asset securitization business for financing, which can revitalize the stock assets, broaden financing channels, improve the efficiency of fund use and optimize the asset structure; Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) as the basic asset of the special plan, the group Leasing Co., Ltd. has the right to claim rent and other rights and its subsidiary security interests to the lessee according to the financial leasing contract, the income is stable, the overall risk is low, and the possibility of the company actually bearing the difference to make up is small; In addition, Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) group Leasing Co., Ltd. has stable operation and good credit status. The relevant credit enhancement measures provided by the company can effectively reduce the financing cost, which is in line with the interests of the company and all shareholders. There is no damage to the interests of minority shareholders. It is agreed that the company will provide balance supplement for the special plan.
5、 Accumulated external guarantees and overdue guarantees
As of June 30, 2021, the guarantee balance of the company's headquarters and its wholly-owned and holding subsidiaries to non affiliated third parties was RMB 490 million, accounting for 0.42% of the company's audited net assets as of December 31, 2020; The external guarantee balance of the company and its wholly-owned and holding subsidiaries was 97.054 billion yuan, accounting for 82.23% of the audited net assets of the company as of December 31, 2020; There is no overdue guarantee.
6、 Documents for future reference 1. Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) resolutions of the 38th meeting of the third board of directors. 2. Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) resolution of the 2020 annual general meeting of shareholders. 3. Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) decided by the chairman. It is hereby announced.
Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) board of directors January 19, 2002
