Datang International Power Generation Co., Ltd. Announces Extraordinary General Meeting and Significant Financial Assistance to Joint Venture

Key Points for Investors

• Extraordinary General Meeting (EGM) Scheduled:
  The 2026 first EGM will be held on 27 March 2026, at 10:00 a.m. at the company’s headquarters in Beijing. The primary agenda is to consider and approve the provision of financial assistance to a joint venture.
• Closure of Register for H-Shareholders:
  The register of members for H-shareholders will be closed from 24 March 2026 to 27 March 2026 (both dates inclusive). Only shareholders on record as of 24 March 2026 are entitled to attend and vote at the EGM. Transfer documents must be submitted by 4:30 p.m. on 23 March 2026.
• Major Resolution: RMB4.2 Million Entrusted Loan to Joint Venture
  The Board will seek shareholder approval for an entrusted loan of RMB4.2 million to Hebei Weizhou Energy Comprehensive Development Co., Ltd. (“Weizhou Energy Company”), via China Datang Group Finance Company Limited (“Datang Finance Company”). The loan carries a fixed interest rate of 2.50% per annum and matures on 25 December 2028.
• Purpose of the Loan:
  The funds will be used by the joint venture for the unit 1 flexible peak shaving and capacity expansion project, part of a broader initiative under the government’s action plans for energy conservation, carbon reduction, and equipment renewal. This project supports wide-load efficiency upgrades for coal-fired power units, aiming to enhance energy supply and peak shaving capabilities.
• Significant Policy and Financial Backing:
  The joint venture secured RMB4.2 million through ultra-long-term special government bonds, reflecting strong policy support and potential for future government-backed projects.
• Impact on Company Operations:
  Management states that providing this financial assistance will not affect the normal production, operation, or cash flow of Datang Power and does not violate any stock exchange listing rules.
• Regulatory and Shareholder Oversight:
  As Weizhou Energy Company’s assets-to-liabilities ratio exceeds 70%, shareholder approval at the EGM is mandatory. The resolution has already been approved by the Board.
• Proxy Voting and Meeting Details:
  H-shareholders can appoint one or more proxies to vote on their behalf. Proxies do not need to be shareholders. Proxy forms and relevant documents must be submitted to Computershare Hong Kong Investor Services Limited not less than 24 hours before the EGM.

Potential Share Price Impact & Investor Considerations

• Government Policy Alignment:
  The project aligns with national priorities on energy conservation and equipment renewal, suggesting potential for favorable regulatory treatment and further government support. This could enhance the company’s reputation and open access to more funding opportunities.
• Financial Exposure:
  The entrusted loan exposes Datang Power to project-specific risks at Weizhou Energy Company. However, management assesses the risk as manageable and not detrimental to the company’s core operations or liquidity.
• Shareholder Participation:
  The opportunity for H-shareholders to vote on this significant financial transaction underscores the company’s commitment to governance and transparency.
• Joint Venture Structure:
  Weizhou Energy Company is a 50-50 joint venture with Kailuan (Group) Limited Liability Corporation, meaning Datang Power shares both the risks and potential returns equally.

Additional Details

• The EGM is expected to last one hour. Shareholders and proxies attending in person will bear their own travel and accommodation costs.
• Contact details for further inquiries:
  
  No. 9 Guangningbo Street, Xicheng District, Beijing, PRC, 100033
  
  Tel: (8610) 8800 8276 | Fax: (8610) 8800 8264 | Email: [email protected]
• The Board of Directors consists of a mix of executive and independent non-executive directors, ensuring robust corporate governance.

Conclusion

The proposed provision of financial assistance to the joint venture is a significant development, involving government-backed financing, and is closely tied to national energy and environmental policies. This could influence Datang Power’s future growth prospects and its share price, depending on the project’s success and further policy developments. Shareholders should carefully consider the resolution and exercise their voting rights at the upcoming EGM.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult a professional advisor before making any investment decisions. The information presented is based on the official notice and related company disclosures as of March 2026. The company’s future performance and share price may be influenced by a variety of factors not discussed herein.

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