Huaneng Power Backs Shandong Company with Financial Aid

Huaneng Power International (HK:0902) has released an update.

Huaneng Power International has signed a Letter of Support to provide financial aid to Shandong Company, ensuring operational and cash flow support if needed. This move is linked to a broader asset securitization strategy involving the Yantai Project, with transactions falling under connected transaction rules of the Hong Kong Listing Rules, requiring reporting and annual review but not independent shareholder approval. The company has also involved Gram Capital to justify the longer-than-three-years term of the support agreement, which is stated to be common in such business practices.

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