Hong Kong – 28 August 2026 – CITIC Limited (CITIC) announced that China CITIC Bank (CITIC Bank), its 65.76%-owned banking arm, has renewed two key framework agreements with parent company CITIC Group, covering (1) Asset Transfer Transactions and (2) Investment Business Transactions for the three years from 1 January 2027 to 31 December 2029.
Asset Transfer Framework • Scope: Transfers of movable/immovable property, credit assets, interbank assets, non-performing loans, forfaiting and bill assets between CITIC Bank and CITIC Group or its associates. • Pricing: Primarily “at par” for ordinary and securitised credit-asset transfers; market-based mechanisms for non-performing assets, forfaiting and bills. Terms offered to connected parties must be no more favourable than those for independent third parties. • Historical volumes vs. caps: Actual transaction values were RMB 2.41 billion in 2024, RMB 0.46 billion in 2025, and RMB 0.32 billion for 1H 2026, all well below the existing annual cap of RMB 9.00 billion. • New annual caps: RMB 6.30 billion for each of 2027, 2028 and 2029, reflecting a planned reduction in headroom despite expected growth in business volumes and the reclassification of rediscounting activities into asset transfers.
Investment Business Framework • Scope: Mutual investments in securities, funds (public and private), wealth-management products, trusts, bonds, asset-backed securities, co-investments and other financial instruments. • Pricing: Fees and yields benchmarked to prevailing market rates—public fund management fees generally ≤0.50%, private fund fees ≤1.00%, fixed-income asset-management fees ≤0.50%, equity strategies ≤1.20%. Standardised debt priced via primary-market bidding or secondary-market quotes; non-standard credit priced on a negotiated, market-based basis. • Historical balances vs. caps: Peak outstanding balances reached RMB 3.88 billion in 2025 and RMB 8.05 billion in 1H 2026, within the current cap of RMB 10.00 billion. • New annual caps: Raised to RMB 12.00 billion for each of 2027-2029, citing anticipated expansion of CITIC Wealth Management’s AUM, increased collaboration with CITIC Group entities and a shift in customer preference from deposits to wealth-management products.
Regulatory Position Because CITIC Group controls CITIC and is therefore a connected person under Hong Kong Listing Rules, transactions between CITIC Bank and CITIC Group (and their associates) constitute continuing connected transactions. The highest applicable percentage ratios for the new caps exceed 0.1% but remain below 5%, triggering reporting and announcement obligations only; circulars, independent financial advice and minority shareholder approval are not required.
Governance Measures Five directors holding positions within CITIC Group—Mr. Xi Guohua, Mr. Zhang Wenwu, Mr. Wang Guoquan, Ms. Li Yi and Mr. Yue Xuekun—abstained from voting on the relevant board resolutions to avoid conflicts of interest. The board, including all independent non-executive directors, concluded that the renewed agreements are on normal commercial terms, in the ordinary course of business and in the interests of CITIC and its shareholders as a whole.
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