Huaneng Power International, Inc. Receives an Undertaking for Avoidance of Business Competition from China Huaneng Group
BEIJING, Sept. 16 /PRNewswire-Asia/ -- Huaneng Power International, Inc. ("HPI" or the "Company" (NYSE HNP; HKEx: 902; SSE: 600011) is pleased to announce that recently, Huaneng Power International, Inc. received from its controlling shareholder, China Huaneng Group ("Huaneng Group"), an undertaking on relevant matters for further avoidance of business competition by Huaneng Group (Letter of Undertaking).
The Letter of Undertaking stated that in order to support the business development of, integrate relevant quality assets and avoid business competition with, Huaneng Power International, Inc., Huaneng Group and Huaneng International Power Development Corporation had previously given a non-compete undertaking to the Company. Relevant disclosure was made in the prospectus for the initial public offering of A Shares of the Company, and following the listing of the Company on the Shanghai Stock Exchange, in the annual reports and other relevant announcements for information disclosure.
Whilst Huaneng Group will continue to perform its undertakings previously given, for further avoidance of business competition with the Company, Huaneng Group further undertakes to the Company that:
1. It shall treat the Company as the only platform for integrating the conventional energy business of Huaneng Group;
2. With respect to the conventional energy business assets of Huaneng Group located in Shandong Province, Huaneng Group undertakes that it will take approximately 5 years to improve the profitability of such assets and when the terms become appropriate, it will inject those assets into the Company. The Company has a right of first refusal to acquire from Huaneng Group the newly developed, acquired or invested projects which are engaged in the conventional energy business of Huaneng Group located in Shandong Province;
3. With respect to the other non-listed conventional energy business assets of Huaneng Group located in other provincial administrative regions, Huaneng Group undertakes that it will take approximately 5 years and upon such assets meeting the conditions for listing, it will inject such assets into the Company in order to support the sustainable, stable development of the Company;
4. Huaneng Group will continue to perform each of its undertakings to support the development of its subordinated listed companies.
About the Company
The Company is one of China's largest listed power producers with controlled generation capacity of 50,033 MW and equity-based generation capacity of 46,512MW. The power plants of the Company are located in 17 provinces, municipalities and autonomous regions in China. The Company also has a wholly-owned power company in Singapore.
For enquiries, please contact:
Huaneng Power International, Inc.
Ms. MENG Jing / Ms. ZHAO Lin
Tel: +86-10-6608-6765 / 6322-6596
Fax: +86-10-6641-2321
Email: [email protected]
Wonderful Sky Financial Group Limited
Ms. Katy CHAN / Mr. John GAO / Ms. Kate CHAN / Ms. Olive ZHANG
Tel: +852-3970-2119 / 3970-2186 / 3970-2153 / 3970-2180
Fax: +852-2815-1352
Email: [email protected] / [email protected] /
[email protected] / [email protected] /
SOURCE Huaneng Power International, Inc.
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