Juhua invests to control Gansu unit for new materials

Zhejiang Juhua Co. plans to increase its stake in Gansu Juhua New Materials Co., Ltd., by contributing 4.2 billion yuan, raising Gansu Juhua's registered capital from 100 million yuan to 6 billion yuan. This will give Zhejiang Juhua a 70% controlling stake, while Juhua Group will hold the remaining 30%. The investment will facilitate a high-performance fluorine and chlorine new materials integrated project, with a total investment of 19.625 billion yuan. Zhejiang Juhua will pay 700 million yuan upfront, Gansu Juhua currently holds land use rights for the project and is still in early stages of development. The deal is subject to shareholder approval.