Summary by Moomoo AI
CNBM announced on October 25, 2024 that it signed a capital contribution agreement with Handan Zhongcai, Nanjing Fiberglass Institute, Beijing New Building Materials, and Baku Feng Industrial to jointly establish the joint venture company "Zhongcai (Handan) New Materials Co., Ltd." in Handan City, Hebei Province. The registered capital of the joint venture company is RMB 80 million, with the four parties subscribing in different proportions to invest in the construction of a 50,000-ton annual production line project for rock wool boards. This transaction is a related party transaction, but because the consolidation percentage is less than 5%, it is exempt from complying with the regulations requiring circulars and shareholder approval, only needing to comply with the disclosure and reporting requirements. The joint venture company will use local solid waste raw materials to produce lightweight building materials, in line with the eco-friendly concept, and is expected to bring economic benefits and market development potential.
