On November 10th, Huilong Aluminum Group announced that to implement the company's development strategy further, optimise the company's organisational management system, and improve operational efficiency, the company plans to acquire 27 per cent of the equity of its holding subsidiary Anhui Huilong Group Donghua Agricultural Materials for RMB 53.79. Anhui Huilong Group Huialumum New Material Technology Co., Ltd. plans to sell 17 per cent of its equity. Additionally, Anhui Huilong Group Huialuminum New Material Technology Co., Ltd. has expressed its plans to sell its entire equity stake of 100 per cent in Maanshan Dasong New Material Technology Co., Ltd. for a sum of 49.3 million yuan.
Anhui Huilong Group Huialuminum New Material Technology Co., Ltd. (hereafter referred to as "huialuminum new material") was founded in 2009 and is owned and managed by Anhui Huilong Agricultural Materials Group Co., Ltd., listed on the Anhui Supply and Marketing Society in 2020. It has a complete industrial chain system for profile extrusion, surface treatment, deep product finishing, design, R&D, manufacturing, and installation of aluminium products. It has aluminium products and finishing capabilities that are among the finest in the market.
As per the present declaration, it is seen that Chen Zeyu, an individual, has a 27 per cent stake in Donghua Agricultural Materials. It is also noted that this particular equity share will be subjected to a pledge arrangement with Huilong Shares in 2021. To facilitate the seamless execution of this transaction, the responsibility for overseeing the steps above for releasing the equity pledge will be jointly assumed by the firm and Chen Zeyu.
Simultaneously, Chen Zeyu assures that upon the completion of the pledge release processes, the transfer of this equity share to its exclusive proprietorship, Ma'anshan Dasong New Energy Technology Co., Ltd. (hereafter referred to as "Dasong New Energy"), would be expedited.
Following the equity above transfer's conclusion, this transaction's counterparties will all be Otsu New Energy. Following the conclusion of this transaction, the company will own 100 per cent of Donghua Agricultural Materials' stock, Huialuminum New Materials will no longer own Dasong New Materials' equity and Dasong New Materials will no longer be included in the company's consolidated financial statements.
The primary commodities offered by Da Song New Materials are used within the construction materials industry. The market prosperity of linked items could be better due to the influence of the real estate market. The organisation demonstrates proactive responsiveness to market fluctuations and effectively adapts its organisational framework. By the requirements of strategic development, there is a greater integration of resources, which is advantageous in augmenting the core competitiveness of the firm, improving its capacity for sustainable growth, and defending the interests of the company and its shareholders.