Bohai Leasing: Plans to Repurchase Company Shares for 300 Million to 500 Million Yuan, Demonstrating Development Confidence

Source: Shanghai Securities Journal · China Securities Journal

Shanghai Securities Journal China Securities Network News: Bohai Leasing announced a share repurchase plan on the evening of March 23, stating that based on confidence in the company’s future sustainable and stable development and recognition of the company’s value, the company intends to use its own funds and self-raised funds (including dedicated loan funds for share repurchase) to repurchase some of its shares through centralized bidding on the Shenzhen Stock Exchange trading system. This aims to boost investor confidence, maintain company value, and protect shareholders’ rights and interests.

According to the plan, Bohai Leasing’s total repurchase funds will not exceed 500 million RMB (inclusive) and not be less than 300 million RMB (inclusive). The repurchase price will not exceed 7.36 RMB per share (inclusive). Based on the maximum price, the number of shares to be repurchased is approximately 40.76 million to 67.93 million, accounting for about 0.66% to 1.10% of the company’s current total issued shares. The repurchase period is within three months from the date the board approves the repurchase plan. All repurchased shares will be used for sale. Bohai Leasing also indicated that if there are subsequent employee stock ownership plans or equity incentive purposes, the use of all or part of the repurchased shares may be adjusted for employee stock ownership plans or equity incentives.

On the same evening, Bohai Leasing also released a valuation enhancement plan, stating that in the aircraft leasing business, the company will actively leverage its order backlog advantages, increase efforts to expand leasing operations, continuously optimize fleet quality and profitability through rational allocation of aircraft assets, and utilize the company’s good credit rating and diversified financing channels to continuously improve the financing structure and reduce financial costs, providing a solid foundation for business development. In terms of domestic business, the company will actively explore opportunities related to the construction of Hainan Free Trade Port, new productive forces, and national strategic equipment. Relying on policy dividends and resource endowments, the company will steadily restore new domestic business investments and reshape domestic business competitiveness.

Meanwhile, Bohai Leasing pointed out that the company will explore ways permitted by laws and regulations, such as using capital reserves to offset losses, to help the company meet the conditions for cash dividends as soon as possible. The company will actively fulfill its profit distribution system and shareholder return plans, effectively enhance investor returns. Bohai Leasing also stated that if the company’s secondary market stock price falls below the latest net asset value per share or experiences a significant short-term decline, the company will, based on market conditions and its financial situation, take measures such as share repurchase in accordance with laws and regulations to stabilize the stock price. (Wang Jianing)