Tongjing New Energy (08326) issued an announcement that on October 12, 2023, the company's subsidiary Jinzhai Tongjing (lessee) signed a financial lease contract with China Resources Leasing (lessor). China Resources Leasing has agreed to purchase the leased assets from the lessee at a consideration of approximately RMB 20 million and will pay the leased assets to the lessee in a lump sum and lease the leased assets back to the lessee for a term of 36 months (with an option to renew for another 7 years at the end of the 36 months). The estimated total lease payment is approximately RMB 22.219 million, of which the total rent will be paid by the lessee to China Resources Lease in 12 instalments.
It is reported that the leased assets are photovoltaic power generation equipment and supporting facilities. As at March 31, 2023, the book value of the leased assets was approximately RMB 23.9 million.