Zhejiang Feida Environmental Science & Technology Co., Ltd. (SHSE:600526) agreed to acquire 62.95% stake in Zhejiang Fuchun Ziguang Environmental Protection Co., Ltd. from Hangzhou Iron&Steel Group Company for approximately CNY 920 million on December 15, 2021. Given the issue price of CNY 6.01 per share for this acquisition, the number of shares to be issued as payment for the acquisition is 152,317,067 shares. Post completion, Zhejiang Feida will own 97.95% stake in Zhejiang Fuchun. Zhejiang Feida will issue A shares to raise supporting funds. The supporting funds will not exceed CNY821,759,600. As of September 30, 2021, Zhejiang Fuchun Ziguang Environmental Protection Co., Ltd has reported total assets of CNY 3.52 billion and net assets of 1.28 billion.

This transaction plan already obtained the internal decision making body of the counter party. The transaction's formal plan was approved by the 3rd session of Zhejiang Feida's 8th directorate. and shareholders' meeting. As of April 21, 2022, the transaction has been approved by CSRC. As of April 27, 2022, The transaction plan has been approved by the State-owned Assets Supervision and Administration Commission of Zhejiang Province. This transaction has completed all decision-making and approval procedures that need to be performed. CITIC Securities Company Limited (SHSE:600030) acted financial advisor, East & Concord Partners acted as legal advisor and Pan-China Certified Public Accountants LLP acted as accountant to Zhejiang Feida Environmental Science & Technology. China Galaxy Securities Co., Ltd. (SEHK:6881) acted as financial advisor and East & Concord Partners acted as legal advisor to Hangzhou Iron&Steel Group Company.