Hainan Meilan International Airport Company Limited (00357) published an announcement detailing various continuing connected transactions, covering new framework agreements and existing subsisting agreements. The primary counterparty is Hainan Airport Infrastructure Co., Ltd., the controlling shareholder of the airport company.
On March 6, 2026, Meilan Airport entered into two new agreements effective through December 31, 2028: • Hainan Airport Procurement Framework Agreement: Encompasses products and services procured between Meilan Airport and Hainan Airport Infrastructure’s group, covering items such as food, vehicles, IT systems, and facilities maintenance. Proposed annual caps for (i) products and services received by Meilan Airport range from RMB252.63 million to RMB464.51 million, and (ii) products and services provided by Meilan Airport range from RMB317.22 million to RMB341.88 million over 2026–2028. • Property Leasing Framework Agreement: Allows Meilan Airport to lease airport-area properties to Hainan Airport Infrastructure’s group. The proposed annual caps for rental and related fees range from RMB3.35 million to RMB3.88 million over 2026–2028.
Historical transaction figures show that, in the year ended December 31, 2025, products and services procured by Meilan Airport from Hainan Airport Infrastructure’s entities reached approximately RMB227.70 million, while those provided by Meilan Airport were about RMB265.12 million. Other ongoing leases recorded an unaudited figure of around RMB21.06 million. The new transactions require independent shareholders’ approval at an extraordinary general meeting, and an independent board committee has been established to review these connected deals.
Separately, Meilan Airport and Hainan Digital Intelligence entered into a Noise Monitoring Services Agreement on March 6, 2026, with a total value of RMB21.40 million over 10 years. Hainan Digital Intelligence will construct and maintain the necessary monitoring system to comply with noise monitoring requirements starting in 2026. The agreement is deemed justified, given the need for long-term equipment deployment and real-time reporting in accordance with national policies.
Beyond the two main framework agreements, Meilan Airport disclosed details of various pre-existing contracts, collectively called Subsisting Agreements, that became continuing connected transactions after Hainan Airport Infrastructure assumed majority ownership. These agreements cover leases, cleaning, security, ground services, property management, and other airport operations. Fees involve monthly or periodic settlements and adhere to agreed-upon pricing methods. The firm’s finance department conducts verifications to ensure the terms of each agreement are properly implemented.
Information provided indicates each counterparty is an entity under Hainan Airport Infrastructure’s broader corporate structure or an associate thereof. The board has approved the relevant transactions and measures to ensure compliance and proper reporting, with independent directors and external auditors reviewing these transactions annually. No investment advice or forward-looking valuation data were included in the announcement; the disclosures solely focus on commercial terms, fees, and regulatory compliance requirements.