Xin Fengming acquires subsidiary for 102.37m yuan

Xin Fengming Group Co., Ltd. will acquire 100% equity in Zhejiang Caimier New Material Technology Co., Ltd. from its controlling shareholder, Xin Fengming Holdings Group Co., Ltd. The transaction, valued at 102,374,471.52 yuan, constitutes a related party transaction. The acquisition price represents a 2.37% premium over Caimier's net assets, primarily due to land appraisal increments.

The acquisition aims to reduce the company's reliance on external oil agent suppliers, streamline intermediate processes, and achieve partial self-sufficiency in oil agents, thereby lowering production costs and enhancing operational stability. This move is also expected to significantly reduce daily related party transactions, standardizing corporate governance and improving operational independence.

The transaction was approved by the company's Sixth Board of Directors at its thirty-ninth meeting on September 5, 2025, with related party directors abstaining. It does not require shareholder approval as the transaction amount, including other related party transactions within the past 12 months, does not exceed 5% of the company's latest audited net assets.