Huazi Industry's controlling shareholder pledges shares

Baotou Huazi Industry (SSE:600191) announced that its controlling shareholder, Hainan Shengtaj Chuangfa Industrial, has pledged 48,493,200 shares of the company, representing 33.44% of its holdings and 10% of Huazi Industry's total share capital. The pledge is to secure financing for Wandai Agriculture Technology, a subsidiary of Shengtaj's shareholder, Binhai Chuangfa (Shenzhen) Trading. The financing, provided by Bank of Dongying, will be used for Wandai Agriculture's production and operations. Hainan Shengtaj Chuangfa Industrial now has a cumulative pledged shares of 48,493,200. Huazi Industry asserts that the pledge will not negatively impact its business operations or control.