Jiangsu Expressway Company Limited (Jiangsu Expressway) disclosed that its board has approved 20 ordinary related-party/continuing connected transactions with an aggregate maximum contract cap of RMB 2.34 billion (≈USD 320 million), covering service, leasing, construction, maintenance and power-generation projects running from 2026 to 2046. All deals were cleared at the 25th meeting of the 11th Board on 27 August 2026; shareholder approval is not required as the aggregate amount is below 5% of the group’s latest audited net assets.
Key Contract Caps and Counterparties 1. Road & bridge works with Jiangsu Xiandai Road & Bridge Company dominate the package, including: • RMB 1.63 billion special maintenance and building-renovation projects through April 2029. • RMB 382.33 million, 10-year maintenance contract for the Guangling–Jingjiang section of the Beijing–Shanghai Expressway (2026-2036).
2. Expressway operation management entrusted to Jiangsu Yangtze River Management Company totals RMB 1.99 billion for 2027-2029, covering seven expressway and bridge subsidiaries.
3. Site leasing for photovoltaic power plants and associated electricity sales, led by ten expressway operating entities, carries a 20-year cap of RMB 568.37 million.
4. Service-area leasing and property-management contracts with Communications Holding Commercial Operation Company amount to RMB 619.20 million for 2026-2029.
5. Additional notable caps include: • Charging-infrastructure works with Zhenyang Transportation Technology – RMB 89.40 million (2026-2028). • Comprehensive maintenance technology services from Maintenance Technology Company – RMB 78.00 million (2026-2027). • Road and bridge testing by Xiandai Engineering Testing – RMB 72.70 million (2026-2027). • Smart-service equipment and cloud-toll procurement from Tongxingbao – RMB 46.10 million (2026). • Office-premises lease and software services with Micro Video Technology – RMB 24.48 million (2026-2029).
Regulatory Position • Transactions fall within Rule 6.3.3 of the Shanghai Listing Rules and Rules 14A.07 and 14A.76 of the Hong Kong Listing Rules. • All applicable percentage ratios are above 0.1% but below 5%; hence only board approval and public disclosure are required. • Item 20 (electricity sales) is exempt from Hong Kong disclosure under Rule 14A.97. • Independent directors concluded the terms are fair, reasonable and conducted on normal commercial terms; the company’s revenue and profit are not dependent on these transactions.
Governance Safeguards • Related-party pricing was subjected to public tender, independent cost-consultant review or multi-party quotation comparisons. • Related directors abstained from voting; no breaches were recorded under previous similar agreements. • Payments will be funded by internal resources or project financing aligned with specified use of proceeds.
Financial Context For FY 2025, Jiangsu Expressway reported revenue of RMB 20.29 billion and net profit of RMB 4.82 billion, with total assets of RMB 96.39 billion and net assets of RMB 41.44 billion. The approved caps represent about 5.64% of 2025 total assets and 18.37% of net assets, spread over multi-year periods, indicating manageable balance-sheet impact.
Timeline Most contracts commence 1 September 2026. The longest extend to December 2046 for photovoltaic site leases, while the shortest conclude by December 2026 for several procurement and service items.