Tianqi Lithium Industry: Monthly repay SQM debt total 1.13 billion US dollars

On July 29, 2022, Tianqi Lithium Industry (002466.SZ/09696.HK) announced that as of July 27, 2022, the company has all repaid to acquire Chile Mining Chemical Corporation Sociedad Quimica Y Minera de Chile S.A (referred to as shorts SQM) M & A loans, a total of about 1.13 billion U.S. dollars, and related interest and expenses.

According to the announcement, the company decided to borrow the SQM debt, that is, the company's wholly -owned subsidiary Tianqi Xinlong Technology (Chengdu) Co., Ltd., a special destination company, Tianqi Lithium Australia Investments 2 Ptyqi Lithium Australia Investralia Investralia Investralia Investral Funding funds, such special destination companies will further repay SQM debt to creditors.

At present, the company and subsidiaries and the dealers are going through the procedures to lift the relevant pledge guarantee provided by SQM debt.

The company said that the repayment of SQM debt is conducive to further improving the company's overall asset -liability ratio and financial leverage ratio, reducing financial costs, and improving operating efficiency. The construction and production of the project provides more solid financial support, and comprehensively enhance the overall core competitiveness of the Group.

It further stated that because the repayment of the repayment of the acquisition of the acquisition of loans comes from the funds raised by the issue of H shares, it will not have a significant adverse effect on the company's financial and operational conditions.

On July 13 this year, Tianqi Lithium was listed on the main board of the Hong Kong Stock Exchange to achieve the listing of "A+H". The total amount of the company's global offering is expected to be approximately HK $ 13.458 billion, the largest IPO of the Hong Kong stock market since 2022.

At that time, the company admitted that the net amount of income was planned to be used to repay the unpaid balance of SQM debt.

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