China Economic Net, Beijing, December 15th. Sany Heavy Energy (688349.SH) disclosed an announcement on the sale of assets by a wholly-owned subsidiary yesterday evening. The company held the 50th meeting of the first board of directors and the 42nd meeting of the first board of supervisors on December 13, 2023, and reviewed and passed the "Proposal on the Sale of Assets by Wholly Owned Subsidiaries". It is agreed that the company will transfer 100% of the equity of Jilin Xiangyu New Energy Co., Ltd. (hereinafter referred to as "Xiangyu New Energy" or "Target Company") held by its wholly-owned subsidiary Chongeng International Holdings Co., Ltd. (hereinafter referred to as "Chongeng International" or "Transferor") to Jilin Jidian Green Energy Development Co., Ltd. (hereinafter referred to as "Jidian Green Energy" or "Transferee"), the transfer consideration is tentatively set at RMB 203.1074 million (the final equity transfer price will be adjusted according to the supplementary audit results and agreed matters). The transaction does not need to be submitted to the general meeting of shareholders for consideration or other approval procedures.

Xiangyu New Energy was established on January 30, 2022 and holds 100 percent of the equity of Tongyu Opening Wind Power Generation Co., Ltd. (hereinafter referred to as "Tongyu Opening" or "Project Company"). Tongyu Opening holds the Sany Tongyu Carbon Fiber Smart Fan Test Base Project ("Target Project") located in Tongyu County, Baicheng City, Jilin Province. The target project was completed on August 31, 2023 and has full capacity grid-connected power generation. The company indirectly holds a 100 percent stake in Xiangyu New Energy through Heavy Energy International.

Jidian Green Energy acquired 100 percent of the equity of Xiangyu New Energy held by Chongeng International, a wholly-owned subsidiary of the company, by way of debt acquisition (100 percent of the equity of Tongyu Opening held by Xiangyu New Energy will be transferred accordingly). The consideration for the equity transfer is tentatively set at RMB 203.1074 million yuan. At the same time, Trinity can provide 30 million yuan of pay-as-you-go bank performance guarantee for the target project. As of August 31, 2023, the base date of the appraisal report, Jidian Green Energy and Heavy Energy International confirmed that the balance of liabilities for the opening of Xiangyu New Energy and Tongyu was 561.9069 million yuan. After the completion of the transaction, the Company and its wholly-owned subsidiary, Chongeng International, no longer hold equity interests in Xiangyu New Energy and Tongyu Opening, and Xiangyu New Energy and Tongyu Opening are responsible for repaying their respective debts.

the transfer consideration of 100 equity of Xiangyu New Energy in this transaction is RMB 203.1074 million, and the corresponding appraisal value is RMB 234.8 million. Compared with the book value of RMB 191.9316 million, the appraisal value is RMB 42.8684 million, and the appreciation rate is 22.34. The transaction price of the sale of shares has been appraised by Beijing Zhongtonghua Asset Appraisal Company Limited, and an appraisal report No. 062182 of Zhongtonghua Appraisal Zi (2023) has been issued.

after the completion of this transaction, it is expected to increase the total profit of the company by about 0.419 billion yuan, subject to the company's annual audit report. The transaction is in line with the Company's actual operation and future development needs, and there is no harm to the legitimate interests of small and medium shareholders. The proceeds from this transaction will be used to develop the company's main business.

Sany Heavy Energy disclosed an announcement on the sale of shares in a wholly-owned subsidiary at the same time yesterday evening. The company held the 50th meeting of the first board of directors and the 42nd meeting of the first board of supervisors on December 13, 2023, and reviewed and passed the "Proposal on the Sale of Equity in Wholly-owned Subsidiaries". It is agreed that the company will transfer 100% of the equity of Tongyu Tongzhao New Energy Co., Ltd. (hereinafter referred to as "Tongzhao New Energy" or "Target Company") to Jilin Jidian Green Energy Development Co., Ltd. (hereinafter referred to as "Jidian Green Energy" or "Transferee"), the transfer consideration is tentatively set at RMB 262.6838 million. The transaction does not need to be submitted to the general meeting of shareholders for consideration or other approval procedures.

Tongzhao New Energy was established on June 5, 2019 and holds 100 percent of the equity of Tongyu Bianzhao Wind Power Generation Co., Ltd. (hereinafter referred to as "Tongyu Bianzhao" or "Project Company"). Tongyu Bianzhao holds the Sany Tongyu Large Capacity Wind Turbine Carbon Fiber Technology Application Demonstration Wind Farm Project (hereinafter referred to as "Target Project") located in Tongyu County, Baicheng City, Jilin Province. The company holds a 100 per cent stake in Tongzhao New Energy.

Jidian Green Energy acquired 100 of the equity of Tongzhao New Energy, a wholly-owned subsidiary of the company, by way of debt acquisition (100 of the equity of Tongzhao New Energy held by Tongzhao New Energy will be transferred accordingly). The consideration for the equity transfer is tentatively set at RMB 262.6838 million yuan. At the same time, the company to Jidian Green Energy to provide 30 million yuan of pay-as-you-go bank performance guarantee. As of September 30, 2023, the base date of the appraisal report, Jidian Green Energy confirmed that the balance of liabilities of Tongzhao New Energy and Tongyu Bianzhao was 490.6147 million yuan. After the completion of the transaction, the Company no longer holds equity interests in Tongzhao New Energy and Tongyu Bianzhao, and Tongzhao New Energy and Tongyu Bianzhao are responsible for repaying their respective debts.

the consideration for the transfer of 100 equity interest in Tongzhao New Energy in this transaction is RMB 262.6838 million, and the corresponding appraised value is RMB 278.8 million. Compared with the book value of RMB 220.1184 million, the appraised value is RMB 58.6816 million, and the appreciation rate is 26.66. The transaction price of the sale of shares has been appraised by Beijing Zhongtonghua Asset Appraisal Company Limited, and Zhongtonghua Appraisal Report (2023) No. 062300 has been issued.

after the completion of this transaction, it is expected to increase the total profit of the company by about 0.305 billion yuan, subject to the company's annual audit report. The transaction is in line with the Company's actual operation and future development needs, and there is no harm to the legitimate interests of small and medium shareholders. The proceeds from this transaction will be used to develop the company's main business.

after calculation, after the completion of the above two transactions, it is expected to increase the total profit of trinity by a total of 0.724 billion yuan.