Shenzhen Investment's subsidiary has entered into a loan agreement with Shenye Tairan and Shenzhen Metro Properties

According to the announcement from Shenzhen Investment (00604), on October 24, 2025, Shenzhen Taiyun Tong (an indirectly non-wholly-owned subsidiary of the company) entered into a loan agreement with its shareholders (namely, Shenye Tairan and Shenzhen Metro Properties). Under this agreement, Shenzhen Taiyun Tong agrees to provide loans to them in proportion to the equity held by Shenye Tairan and Shenzhen Metro Properties in Shenzhen Taiyun Tong, based on the same terms and conditions.

The total principal amounts of the loans to be provided by Shenzhen Taiyun Tong to Shenye Tairan and Shenzhen Metro Properties are RMB 1.29 billion and RMB 1.24 billion, respectively. The term of the loan financing shall be 36 months from the date of the first loan disbursement. During this period, the lender may disburse the loan in one or more batches according to the borrower's funding requirements. The loan will accrue interest at a fixed annual interest rate of 0.05% on a simple interest basis, remaining unchanged throughout the loan period.

Shenzhen Taiyun Tong is primarily engaged in the development and construction of a residential project located in Shenzhen. The project has been completed, and Shenzhen Taiyun Tong has generated surplus cash from the project. Since Shenzhen Taiyun Tong has no significant capital needs, by providing loans to its shareholders in proportion to their equity (all loans are funded from Shenzhen Taiyun Tong's internal idle resources), Shenzhen Taiyun Tong can utilize the surplus cash more effectively and allow its shareholders (including the group as one of the shareholders) to recoup cash from it. Therefore, the parties have referenced the current market savings interest rates when determining the interest rate under the loan agreement, and the terms of the loan agreement have been agreed upon by the parties after fair negotiation