China Pet Foods' controlling shareholder reduces stake amid dilution

Yantai China Pet Foods' controlling shareholder, Yantai China Pet Fortune Biotechnology, and its concerted party, Shanghai Tongyi Investment Management Co. – Tongyi Spring Dawn 19 Private Securities Investment Fund, have reduced their combined equity interest in the company. Their total equity interest decreased from 26.41% to 25.00%.

This change was due to passive dilution from the conversion of convertible bonds and active share reduction by Tongyi Spring Dawn 19.

Between August 7, 2025, and September 16, 2025, Tongyi Spring Dawn 19 sold 1,579,000 shares through concentrated bidding on the Shenzhen Stock Exchange, representing 0.52% of the company's total share capital. This sale was part of a previously announced plan to reduce holdings by up to 4.56 million shares.

The passive dilution resulted from various events, including convertible bond conversions and non-public share issuances, which increased the company’s total share capital from 294,112,698 shares to 304,376,420 shares. Prior to this, Yantai China Pet Fortune Biotechnology transferred 4.56 million shares to Tongyi Spring Dawn 19, with an agreement for concerted action.