Hegang Laoting asset valuation rises ahead of capital increase

Hegang Laoting Iron and Steel Co., Ltd. underwent an asset valuation for a proposed capital increase and share expansion as of June 30, 2025. The total asset book value was CNY 8,581,400.90 million, with audited net assets at CNY 2,102,269.96 million.

The asset-based valuation method concluded a total asset valuation of CNY 8,633,644.62 million, an increase of CNY 52,243.72 million (0.61%) from book value. Liabilities were valued at CNY 6,469,266.97 million, a decrease of CNY 9,863.97 million (0.15%). Consequently, the net asset value for shareholders' equity was assessed at CNY 2,164,377.65 million, reflecting an increase of CNY 62,107.69 million (2.95%). The asset-based valuation was selected as the final conclusion.

The report notes 237 properties lack ownership certificates, though the company provided construction approval and related documents. Additionally, certain land use rights, totaling 441,671.12 square meters, are in the process of ownership transfer following an agreement with the Hebei Laoting Economic Development Zone Management Committee. The valuation did not factor in these ongoing matters.