CDB LEASING (01606) has announced that the company, acting as the lessor, entered into a financing lease contract with the lessee, Kashi Zhaoheng Clean Energy Co., Ltd., on February 27, 2026 (after trading hours). Under the agreement, the lessor has agreed to purchase the leased assets from the lessee for a consideration of RMB 1.4 billion and will lease the assets back to the lessee for a lease term of 300 months. The leased assets consist of power generation equipment for a hydropower plant located in the Xinjiang Uygur Autonomous Region of China.
According to the financing lease contract, the lessor will lease the assets to the lessee, with rental payments denominated in RMB and inclusive of value-added tax. The rentals are composed of a lease principal and lease interest. The lease principal is consistent with the transfer price, totaling RMB 1.4 billion, while the total lease interest over the lease period amounts to approximately RMB 718 million. The lessee will repay the lease principal and interest to the lessor in quarterly installments throughout the lease term.
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