POWERLONG CM: The controlling shareholder may sell company shares
POWERLONG CM announced that its controlling shareholder, POWERLONG Holdings Limited, plans to sell or pledge company shares to support its restructuring of overseas debt. The restructuring plan includes selling or pledging shares to raise USD 40 million or transferring up to 32.4% of shares to creditors. Currently, POWERLONG holds 63% of the company's shares, and the restructuring is not expected to adversely affect the company's operations
According to the announcement from Zhitong Finance APP, POWERLONG CM (09909) stated that the company has been notified by its controlling shareholder POWERLONG (Holdings) Limited (POWERLONG) that POWERLONG has entered into a restructuring support agreement regarding its proposed restructuring of offshore debt (POWERLONG restructuring) on October 10, 2025.
According to the terms and conditions related to the POWERLONG restructuring, subject to the signing of final documents, the restructuring consideration will consist of one or more combinations selected by the plan creditors, including (but not limited to) (i) the sale or pledge of the company's shares by POWERLONG to pay a total cash amount of USD 40 million in full or in part; and (ii) the transfer of the company's shares (equivalent to no more than 32.4% of the company's issued shares) to the plan creditors by POWERLONG.
As of the date of this announcement, POWERLONG holds 405 million shares of the company through its wholly-owned subsidiary, accounting for approximately 63% of the company's issued shares.
The company expects that the POWERLONG restructuring will not have any adverse impact on the operations of the company and its subsidiaries
