JNCEC (00579) announced that on November 24, 2025, the company entered into a trust agreement with China Resources Trust. Under the agreement, JNCEC conditionally agreed to entrust underlying assets to China Resources Trust for the establishment of a trust, issuance of asset-backed commercial paper (ABCP), and the management, utilization, and disposal of trust assets. In return, China Resources Trust conditionally agreed to act as trustee and management institution for the second ABCP issuance to benefit the beneficiaries.

For the second ABCP issuance, JNCEC also signed a service agreement with China Resources Trust, an underwriting agreement with China Resources Trust and China Merchants Bank, and a fund supervision agreement with China Resources Trust and the Beijing Branch of China Merchants Bank on November 24, 2025. Additionally, the company issued a liquidity support commitment letter.

The underlying assets include: (i) All rights, interests, benefits, and proceeds (current and future, existing and contingent) related to receivable subsidies; (ii) All matured or upcoming recoverable amounts attributable to receivable subsidies; (iii) Proceeds from the transfer, sale, auction, disposal, or other means of receivable subsidies; (iv) Rights to claim, litigate, recover, or accept payments related to receivable subsidies; and (v) Benefits derived from receivable subsidies and all rights and legal remedies for enforcing receivable subsidies.

The board believes the second ABCP issuance will diversify the group’s fundraising channels, improving its financing structure and enhancing operational and investment activities. It will also help reduce accounts receivable balances and optimize the group’s debt-to-asset ratio. The directors consider that the asset sale for the second ABCP issuance will accelerate the overall turnover of the group’s assets. Furthermore, transferring the underlying assets under this arrangement will expedite the recovery of the group’s receivables.

Although the terms of the trust agreement, service agreement, underwriting agreement, liquidity support commitment, and fund supervision agreement were not made in the ordinary course of the group’s business, the directors deem them fair, reasonable, and in the best interests of the company and its shareholders.