Zhonggan Communication Provides 250 Million Yuan Guarantee for Unit's Bank Facilities

MT Newswires Live03-04

Zhonggan Communication (HKG:2545) said it has provided a guarantee of up to 250 million yuan for banking facilities granted to its wholly owned subsidiary Zhonggan Communication, according to a Tuesday Hong Kong bourse filing.

Shares of the telecom infrastructure services provider were down nearly 6% in Wednesday morning trade.

The guarantee was provided to Ganzhou Bank's Qingshanhu branch to secure the subsidiary's obligations under a facility agreement with the bank, the filing said.

The company said the facilities will provide additional financing resources for the subsidiary's operations and help strengthen its cash flow management.

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