Hangxiao Steel Structure (600477.SH) announced on July 24 that its wholly-owned subsidiary, Hangxiao Steel Structure (Anhui) Co., Ltd. (referred to as "Anhui Hangxiao" or "Party B"), recently signed a "Compensation Agreement on the Demolition and Displacement of Hangxiao Steel Structure (Anhui) Co., Ltd." with the Administration Commission of Wuhu Economic and Technological Development Zone (referred to as "Wuhu Development Commission" or "Party A").
In response to the land acquisition plan and overall planning and construction needs of Wuhu Economic and Technological Development Zone, the Wuhu Development Commission has carried out the overall acquisition of the land and property of Anhui Hangxiao located at No. 45 Yinhu North Road, China (Anhui) Pilot Free Trade Zone, Wuhu district. In order to comply with the requirements of the local government's urban construction planning, the two parties have reached a preliminary agreement on relevant compensation matters and signed a compensation agreement.
Party A will provide Party B with a total compensation fee of not less than 136 million yuan (if the compensation fee is higher than 136 million yuan, the final compensation result shall be based on the relevant evaluation report data; if the compensation fee is lower than 136 million yuan, the final compensation result shall be based on 136 million yuan). The compensation fee will be paid in stages, with the first compensation of 50 million yuan paid to Party B before August 10, 2024, and the subsequent payments to be made based on the actual acquisition progress and the agreement between the two parties.