Sinomag subsidiary secures CNY 32.6m in relocation compensation

Sinomag Technology (SZSE:300835) announced that its wholly-owned subsidiary, Shanghai Longci Electronic Technology Co., Ltd., has reached an agreement regarding the relocation and compensation for land reduction efforts in Shanghai’s Jinshan District. The agreement, with Shanghai Lüjian Urban Construction Development Co., Ltd., will result in a one-time compensation of CNY 32,598,214 for the company. The compensation covers the retrieval of land use rights and demolition of buildings located in the "198" block, totaling 23,756 square meters (35.634 acres). Sinomag has relocated production capacity to other existing company facilities and does not foresee a negative impact on business operations, and anticipates a positive impact on the company's operating results, to be verified by the annual audit.