The debt restructuring arrangement of GLOBAL BIO-CHEM suppliers is progressing smoothly

GLOBAL BIO-CHEM (00809.HK) announced the latest information on the supplier debt restructuring. The completion of the debt-to-equity swap agreement has been confirmed, and currently, the suppliers, Chinese partnerships, hold a total of approximately 28.98% equity in Century Global Bio-Chem. The group has initiated and proposed multiple debt restructuring arrangements with the remaining suppliers.

At the same time, the group has signed settlement agreements with 33 remaining suppliers, reducing the debt by approximately RMB 34.51 million, of which RMB 8.65 million has been repaid to date, and there remains an obligation to repay a total of RMB 25.86 million in installments over the next eight years. It is expected that the discount related to the settlement agreements will record a net gain of no less than RMB 17 million