Leoch International Technology Limited has announced that two of its subsidiaries have entered into a new loan facility agreement with various financial institutions. The agreement includes a revolving loan facility of up to RMB428 million (Facility A) and a term loan facility of up to RMB172 million (Facility B). The Company has provided a guarantee for these loans. The total commitment under the Facilities may be increased to a maximum of RMB1 billion, subject to the accession of any new lenders. The Facility Agreement requires Dr. Dong Li, the controlling shareholder of the Company, to maintain at least a 51% equity interest. A breach of this condition could trigger a default event, leading to potential loan cancellations and immediate repayment obligations.
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