China Sunshine Paper revises connected transaction caps upwards

China Sunshine Paper Holdings Limited announced revisions to its continuing connected transactions with Xiamen C&D, a substantial shareholder. The Supplemental Purchase Framework Agreement will broaden the scope of purchases by Ramble Paper Group to include coal and chemical auxiliary materials, in addition to wood pulp and packaging paper products. This led to a revised Purchase Annual Cap of RMB490.4m for the financial year ending 31 December 2025, up from RMB426.8m, and a cap of RMB1,096.4m for 2026, increased from RMB714.7m.

Concurrently, the Supplemental Sales Framework Agreement will see an increase in sales annual caps for packaging paper products sold by Century Sunshine Group to Xiamen C&D Group. The Sales Annual Cap for 2025 has been revised to RMB682m from RMB590.1m, and for 2026, it increased to RMB851m from RMB657.2m. These adjustments reflect anticipated demand growth and expanded product categories.

The company's Independent Board Committee and Independent Financial Adviser have deemed the terms of these Supplemental Agreements fair and reasonable, and in the best interests of the company and its shareholders. The revised agreements and proposed annual caps are subject to approval by Independent Shareholders at an Extraordinary General Meeting (EGM) scheduled for December 10, 2025.