SANY Heavy Industry Co., Ltd. has announced its intention to establish and apply for the issuance of asset-backed securities (ABS) on the Shanghai Stock Exchange, with a total scale not exceeding RMB 10 billion. This move is aimed at revitalizing existing assets and broadening financing channels for the company.

The proposed ABS, which may be issued in one or multiple tranches, will have an expected duration of no more than five years for each special plan. The securities will be structured into senior and subordinated classes, with the company's controlling shareholder, SANY Group Co., Ltd., planning to subscribe to all subordinated ABS, with an aggregate subscription amount capped at RMB 1 billion (inclusive).

Given the involvement of the controlling shareholder in the subscription, this transaction is classified as a connected transaction under applicable regulations.