Dongfeng Group Became A State-owned Asset, Focusing On The Development Of New Energy And New Materials Industry

Dongfeng Group became a state-owned asset, focusing on the development of new energy and new materials industry

On March 24, Dongfeng Group (601515), a leading enterprise in the field of new energy and new materials, issued the "Progress Announcement on the Proposed Change of Control of the Controlling Shareholder", stating that the company's controlling shareholder, Hong Kong Dongfeng Investment Group Co., Ltd. (hereinafter referred to as "Hong Kong Dongfeng Investment"), signed the "Share Transfer Agreement" with Quzhou Zhishang Enterprise Management Partnership (Limited Partnership) (hereinafter referred to as "Quzhou Zhishang") and Quzhou Zhiwei Enterprise Management Partnership (Limited Partnership) (hereinafter referred to as "Quzhou Zhiwei") The effective conditions have been met.

It is understood that this equity transfer is intended to be transferred by Hong Kong Dongfeng Investment, the controlling shareholder of Dongfeng Group, to Quzhou Zhishang 374,884,000 shares (about 20.00% of the company's total share capital) held by the company, and 185,567,580 shares (about 9.90% of the company's total share capital) held by the company to Quzhou Zhiwei, with a total transfer price of 1.869 billion yuan and a transfer price of 3.335 yuan per share. After this change in equity, Quzhou Zhishang and its concerted actor Quzhou Zhiwei will hold a total of 560 million shares of the company, accounting for 29.9% of the company's total share capital, Quzhou Zhishang will directly hold 20% of the company's shares and become the controlling shareholder of the company, and Quzhou State-owned Assets Supervision and Administration Commission will become the actual controller of the company.

According to the announcement, up to now, Hong Kong Dongfeng Investment, Quzhou Zhishang and Quzhou Zhiwei have completed the review process of the internal competent authority, and performed the approval procedure of the state-owned assets supervision department, and have submitted the anti-monopoly review and obtained the "Review Decision" issued by the State Administration for Market Regulation agreeing to implement the concentration of undertakings, and the effective conditions under the "Share Transfer Agreement" have all been met.

According to public information, Quzhou Zhishang and Quzhou Zhiwei are partnerships controlled by Quzhou Industrial Investment Group, which is an industrial platform under the Zhejiang Quzhou State-owned Assets Supervision and Administration Commission, and undertakes industrial investment functions in advanced manufacturing fields such as new energy, new materials, high-end equipment, integrated circuits, and life and health.

Dongfeng Group said that the share transferee implemented the transaction based on its confidence in the company's development, and the two parties agreed to do their best to achieve the stability of the company's operation and maintain long-term friendly cooperation between the two sides. Through the company, we will attract outstanding enterprises to gather in high-tech industries and develop in localized industries, and further promote state-owned and private shareholders to invest more resources and give full play to their advantages and strengths, so as to continue to promote the long-term sustainable development of the company, enhance the company's core competitiveness and enhance the company's value.

It is reported that Dongfeng Group is in a period of strategic adjustment and transformation, focusing on the new materials business and Class I pharmaceutical packaging business. After years of development and continuous optimization of product structure, the company's products have covered new energy separators, PET base films, PVA high barrier films, PVC rigid sheets, PVDC rigid films, pharmaceutical packaging bottles, pharmaceutical SP composite films, pharmaceutical packaging aluminum foil and other product categories, and have formed a business pattern based on printing and packaging, Class I pharmaceutical packaging materials, and accelerated the transformation of the new energy and new material industry.

It is worth mentioning that Dongfeng Group has previously announced that based on the confidence in the future development prospects and the high recognition of the company's intrinsic investment value, based on the company's long-term sustainable development and value growth, in order to fully safeguard the rights and interests of the company and all investors, enhance investors' confidence, and promote the reasonable return of the company's stock value, the company intends to repurchase no less than 50 million yuan (inclusive) and not more than 100 million yuan of shares, and all of them will be used to cancel and reduce the company's registered capital. As of March 5, Dongfeng Group has repurchased 1,963,800 shares, accounting for about 0.1048% of the current total share capital.