China Nuclear Energy Technology Corporation Limited (CNE Tech; HKEX: 00611) announced that its indirect wholly owned subsidiary, CNEC Financial Leasing (Shenzhen) Co., Ltd., has executed a three-year lease agreement with China Nanshan Development (Group) Incorporation, a connected party under Hong Kong Listing Rules.
The agreement, dated 1 September 2026, covers Unit 2502 on the 25th floor of the Chiwan Headquarters Building, 8 Chiwan Sixth Road, Nanshan District, Shenzhen, with a gross floor area of 1,083.26 sq m. The lease runs from 1 September 2026 to 31 August 2029.
Key financial terms: • Monthly rent: RMB0.17 million (tax inclusive), payable on or before the 10th day of each month, with no rent-free period. • Security deposit: RMB0.33 million, equivalent to two months’ rent, refundable at lease end subject to customary conditions. • Right-of-use asset: Approximately RMB5.25 million will be recognised under HKFRS 16.
Listing Rules implications: China Nanshan is deemed a connected person as it controls Nanshan Holdings, a substantial shareholder of CNE Tech. The highest applicable percentage ratio of the lease, based on the right-of-use asset value, exceeds 0.1% but is below 5%. Consequently, the transaction is classified as a connected transaction requiring announcement and reporting, but it is exempt from circular and independent shareholders’ approval.
Strategic rationale: Management views the Grade-A premises in proximity to Nanshan Holdings’ headquarters as enhancing operational continuity and fostering closer collaboration within the China Nanshan Group. The Board, including independent non-executive directors, considers the lease to be on normal commercial terms, fair and reasonable, and in the interests of the company and its shareholders as a whole.
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