dicetable| Weineng Group (01608.HK) may sell power generation fixed assets and inventories to General Technology China Technology Co., Ltd., and plans to establish an asset management platform

Gelonghui May 24 丨 Weineng Group (01608dicetable.HK) AnnouncementdicetableOn May 24, 2024, the company and its controlling shareholder China Technology Import and Export Group Co., Ltd.("General Technology China Technology Corporation") entered into a memorandum of understanding regarding (i) the Group's possible sale of power generation fixed assets and inventories to General Technology China Technology Corporation's proposed establishment of an asset management platform for cash consideration; and (ii) the Group and General Technology China Technology Corporation's asset management platform may enter into a lease arrangement for the Group's long-term and exclusive use of these power generation assets to implement its power projects (collectively referred to as the "Transaction" together with the asset disposal).

The Group is a global leaderdicetableis one of the operators and owners of engine-based distributed power stations with a business landscape covering different countries. The board of directors believes that the memorandum of understanding launches the Group's asset-light strategic journey. Once implemented, the transaction will allow the Group to focus on its core competitiveness in operations, give full play to the resource advantages of its controlling shareholder, improve liquidity and profitability in a high-interest environment, and quickly adapt to the changing market environment.

The Group plans to use the proceeds from the asset disposal (once implemented) to repay debts and serve as working capital.