After a series of twists and turns, the South Grid Energy Sun Company went bankrupt and reorganized!

On September 3, South Grid Energy issued an announcement on the progress of bankruptcy reorganization of Sun Company .

According to the announcement, the Intermediate People's Court of Fangchenggang City of Guangxi Zhuang Autonomous Region has decided to accept the bankruptcy reorganization application of Guangxi Nanneng Changling Clean Energy Co., Ltd. It also appointed Beijing Huatai (Nanning) Law Firm as its bankruptcy reorganization administrator.

At present, the company has been formally taken over and is no longer included in the scope of the company's consolidated financial statements, which is expected to increase the company's net profit in 2026.

It is noteworthy that this bankruptcy reorganization application is a new choice made by South Grid Energy after its previous bankruptcy liquidation application was rejected.

In retrospect, in December 2024, South Grid Power Supply applied to the court for bankruptcy liquidation of Nanneng Changling on the grounds that it could not pay off its debts due, and that it was insufficient to pay off all its debts and obviously lacked solvency.

However, in August 2025, the Fangchenggang Intermediate People's Court ruled that the Company's application for bankruptcy liquidation of Nanneng Changling Company was not accepted ; then the Company appealed to the Guangxi Higher People's Court, and in December 2025, the Guangxi Higher People's Court made a final ruling that the bankruptcy liquidation was not accepted. The court held that the existing evidence was insufficient to prove that Nan Neng Changling had "insufficient assets to pay off all debts/obvious loss of solvency" and did not meet the conditions for acceptance of liquidation.

By the end of December 2025, the energy adjustment strategy of South Grid will no longer apply for bankruptcy liquidation, but apply to Fangchenggang Intermediate Court for bankruptcy reorganization of Nanneng Changling. In the announcement, South Grid Energy said that the main business of Nanneng Changling still has certain value and market prospects, and has the value and feasibility of restructuring. In

April 2026, the Fangchenggang Intermediate Court ruled to accept the bankruptcy reorganization application of Nanneng Changling Company. According to

the data, Guangxi Nanneng Changling Clean Energy Co., Ltd. was established in June 2014 with a registered capital of 113.3 million yuan, and its business scope is mainly investment in new energy and renewable energy projects . At present, the core asset of the company is the Changling Bagasse 1 × 25 MW Biomass Cogeneration Project.