Shandong Donghong Pipe Industry (603856.SH) announced that the company intends to transfer the equity of its holding subsidiary, Urban Lifeline Industry Development (Qufu) Co., Ltd. (referred to as "Urban Lifeline Qufu Company") and 49% equity of its subsidiary Qufu City Urban and Rural Water Affairs Engineering Group Co., Ltd. (referred to as "Urban and Rural Water Works") to Shandong Donghong Technology Group Co., Ltd. (referred to as "Donghong Technology"). The company also intends to transfer its 49% equity of Shandong Yi Yang Jian Kang Group Pipeline Technology Co., Ltd. (referred to as "Health Pipeline") to Shandong Donghong Group Co., Ltd. (referred to as "Donghong Group"), and its wholly-owned subsidiary, Qufu Meitu Construction Engineering Co., Ltd. (referred to as "Meitu Construction"), to Qufu City Urban and Rural Construction Group Co., Ltd. (referred to as "City Construction Group"), and its wholly-owned subsidiary, Qufu Zhongtong Transportation Co., Ltd. (referred to as "Zhongtong Transportation"), to Shandong Donghong New Energy Group Co., Ltd. (referred to as "Donghong New Energy"), and sign equity transfer agreements respectively.
Donghong Pipe Industry (603856.SH) announced that the company intends to transfer the equity of its holding subsidiary, Urban Lifeline Industry Development (Qufu) Co., Ltd. (referred to as "Urban Lifeline Qufu Company") and 49% equity of its subsidiary Qufu City Urban and Rural Water Affairs Engineering Group Co., Ltd. (referred to as "Urban and Rural Water Works") to Shandong Donghong Technology Group Co., Ltd. (referred to as "Donghong Technology"). The company also intends to transfer its 49% equity of Shandong Yi Yang Jian Kang Group Pipeline Technology Co., Ltd. (referred to as "Health Pipeline") to Shandong Donghong Group Co., Ltd. (referred to as "Donghong Group"), and its wholly-owned subsidiary, Qufu Meitu Construction Engineering Co., Ltd. (referred to as "Meitu Construction"), to Qufu City Urban and Rural Construction Group Co., Ltd. (referred to as "City Construction Group"), and its wholly-owned subsidiary, Qufu Zhongtong Transportation Co., Ltd. (referred to as "Zhongtong Transportation"), to Shandong Donghong New Energy Group Co., Ltd. (referred to as "Donghong New Energy"), and sign equity transfer agreements respectively.
This transaction will help the company focus on its main business, optimize resource allocation, concentrate its efforts on developing composite pipeline business with competitive advantages, enhance its core competitiveness, consolidate the company's market position in core business, and promote the high-quality development of the company. After the completion of this transaction, the company will no longer hold the equity of Urban Lifeline Qufu Company, Urban and Rural Water Works, Health Pipeline, Meitu Construction, or Zhongtong Transportation, and Urban Lifeline Qufu Company, Meitu Construction, and Zhongtong Transportation will no longer be included in the company's consolidated financial statements.
