Weichai Power Co., Ltd. announced that its controlling shareholder, Weichai Group Holdings Limited, has submitted a proposal to increase its stake in the company through on-market purchases on the Shenzhen Stock Exchange.
Weichai Holdings currently owns 1.42 billion A shares of Weichai Power, equal to 16.46% of the total share capital. The proposed share purchase will involve an investment of no less than RMB200 million and no more than RMB400 million, with no preset price range. Transactions will be executed via centralised price bidding, and timing and volume will depend on market conditions and the assessed value of the shares.
The buying period extends for six months from the announcement date of 21 July 2026, with implementation subject to Shenzhen Stock Exchange and China Securities Regulatory Commission requirements. Should trading in the shares be suspended, the timeline will be adjusted accordingly.
Financing for the acquisition combines external borrowing and internal resources. Bank of China Limited Weifang Branch has issued a commitment to provide up to RMB360 million in loans with a term of no more than 36 months; the remainder will be covered by Weichai Holdings’ own funds.
Weichai Holdings has pledged not to reduce its stake during the execution of the plan and throughout the statutory restriction period. The proposed transactions will not trigger a mandatory general offer, alter the company’s controlling shareholder, or cause the shareholding structure to breach listing requirements.
The company notes that market fluctuations or unforeseen factors could affect the scale or completion of the share-purchase plan. Investors are advised to remain cautious when dealing in Weichai Power’s securities.
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