Dashengda Plans To Acquire 30% Equity Of Far East Thailand And Increase Capital, With A Total Investment Of Approximately 90 Million Yuan

On July 31st, Dashengda (603687) announced its intention to acquire 10% equity of Thailand Far East International Environmental Protection Co., Ltd. held by Jiteli Trading and 20% equity of Far East Zhongqian in cash, totaling 30% equity, for a transaction consideration of 204 million Thai baht.
At the same time, shareholders plan to increase capital by 670 million Thai baht according to their equity ratio, and the company will subscribe to 201 million Thai baht of registered capital. After the capital increase is completed, the company will still hold 30% equity of Far East Thailand. The total amount of equity transfer funds and capital increase subscription funds for this investment is approximately 405 million Thai baht (approximately 90 million RMB).
This transaction is in response to the anti-dumping and anti subsidy investigations launched by the US Department of Commerce on thermoformed molded fiber products from China and Vietnam, with the aim of enhancing business expansion capabilities by establishing overseas production bases. The announcement clearly states that this transaction does not constitute a related party transaction, nor does it constitute a significant asset restructuring, and the source of funds is the company's own funds. After the transaction is completed, the scope of the company's consolidated financial statements will not change and will not have any adverse impact on its main business and ability to continue operating.