Shuanghui strengthens risk management, forecasts 2026 related-party transactions

Henan Shuanghui Investment & Development, at its Ninth Board of Directors' Tenth Meeting on November 26, 2025, approved revised management systems for futures hedging, foreign exchange hedging, and investment and wealth management. These updates aim to standardize business processes, mitigate risks, and enhance efficiency. The futures hedging system, effective January 1, 2026, focuses on price fluctuation hedging for products like corn and soybeans. The foreign exchange hedging system, also effective January 1, 2026, emphasizes managing exchange rate and interest rate risks from import/export activities and foreign currency loans. The investment and wealth management system outlines principles for using idle funds in a controlled manner.

Concurrently, the company announced its projected related-party transactions for 2026, totaling CNY 805,495,000. These include procurement of raw materials and goods (CNY 581,700,000), sales of products and goods (CNY 32,955,000), provision of labor services (CNY 300,000), acceptance of labor services (CNY 186,115,000), and trademark licensing (CNY 1,125,000). The transactions involve various related parties such as Luohe Huisheng Biotechnology, Shenzhen Wantong Shunda Logistics, and Rotex Co. Ltd. These transactions, deemed necessary for the company's daily operations, are priced based on market rates or agreed-upon principles, aiming for fairness and not prejudicing shareholder interests.