Zhitong Finance App News, Shandong Dawn Polymer (002838.SZ) has announced the issuance of shares, payment in cash to purchase assets, and raising matching funds for related party transactions. The listed company intends to purchase 100% equity of Dawn Titanium, a target company held by 13 trading parties including Dawn Group, by issuing shares and paying in cash, and raise matching funds from up to 35 qualified specific investors. As of the date of this proposal signing, the asset audit and evaluation of the target transaction have not been completed, and the estimated value and transaction price have not been determined.

In this transaction, the trading parties Dawn Group and Song Huidong are related parties of the listed company. Among them, Dawn Group is the controlling shareholder of the listed company, while Song Huidong is a director of the listed company. In addition, the other trading parties of this transaction have no relationship with the listed company.

It is reported that the target company Dawn Titanium has long been committed to the research and development, production, and sales of titanium dioxide materials. Its main products include rutile titanium dioxide, ferrous sulfate, and ferric sulfate polymer, widely used in downstream markets such as plastics, masterbatches, chemical fibers, rubbers, coatings, inks, papermaking, cosmetics, and water purification agents. With the target company's research and reserve in new technologies and products, the future products of the target company have great application prospects in frontier areas such as photovoltaics, lithium batteries, supercapacitors, environmental purification and protection, and high-performance coating materials. Titanium dioxide, due to its unique properties and wide applications, occupies an important position in the field of chemical new materials.

The listed company and the target company both belong to the field of chemical new materials. In the existing application areas of plastics, titanium dioxide is an important raw material for the listed company's main products such as modified plastics, masterbatches, and dyes. With the further consolidation and expansion of the main business of the listed company, the relationship and synergy between the two parties in the product and industry chain will be further strengthened. In addition to product synergy, the two parties also have a business foundation for customer joint development and cooperative marketing in downstream applications such as automobiles, household appliances, and consumer electronics. After this transaction is completed, with the listed company's continuous layout in strategic emerging fields of new materials, both sides' products and technological reserves will have extensive synergies in high-end power batteries, ultra-high voltage cables, photovoltaic industry, national defense military industry applications, etc.

Through this transaction, Dawn Titanium will become a wholly-owned subsidiary of Shandong Dawn Polymer, and the main business of the listed company will add titanium industry-related businesses on the basis of the original business. In terms of industry chain layout, the business chain of the listed company will further extend upstream, helping the listed company reduce related transactions, lower production costs, enhance research and development synergy, improve product competitiveness, and enhance the industrial chain. The integration of titanium industry-related businesses by the listed company will significantly promote the company in enhancing product quality, accelerating new product development, laying out future industries, and continuously meeting the diverse new material demands of customers.

Following the company's application to the Shenzhen Stock Exchange, the company's stock will resume trading from November 12, 2024 (Tuesday) opening market.