China Energy Day by Day: The shareholding percentage of Yongzheng and its concerted action person exceeds 30%, triggering a mandatory takeover bid.

State Grid Corporation announced that Yong Zheng and its concerted action person Ding Jiangwei subscribed for 12.3621 million shares issued to specific targets by the company at a price of 30.55 yuan per share. After this issuance, the shareholding percentage of Yong Zheng and its concerted action person will increase from 35.68% to 41.68%, triggering the obligation to make a tender offer. According to relevant provisions of the "Management Measures for the Acquisition of Listed Companies", if an investor acquires newly issued shares from a listed company, resulting in the investor holding more than 30% of the equity shares of the company, the investor commits not to transfer the newly issued shares within 3 years and the company shareholders agree to exempt the investor from making a tender offer, the investor may be exempt from making a tender offer. Yong Zheng has committed that the listed company shares obtained through this issuance to specific targets shall not be transferred within 36 months from the end of the issuance, and the proposal for the acquirer to be exempted from making a tender offer has been approved by the shareholders' meeting of the listed company. Therefore, the acquirer may be exempted from making a tender offer.