Chengzhi Co., Ltd.
Announcement on Subsidiary Chengzhi New Material's Investment in Ethylene Value Chain Extension and High-End Optical New Material Project
The company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or material omissions.
I. Overview of External Investment
1. Basic Information on External Investment
Chengzhi Co., Ltd. (hereinafter referred to as the "Company"), in accordance with its development plan, intends to extend its chemical new material industry chain by having its wholly-owned subsidiary, Nanjing Chengzhi New Energy Co., Ltd. (hereinafter referred to as "Nanjing Chengzhi"), invest in the construction of an ethylene value chain extension project (20,000 tons/year of n-propanal and 20,000 tons/year of methyl methacrylate (MMA)) and a high-end optical new material project (10,000 tons/year of polymethyl methacrylate (PMMA)) in the Nanjing Jiangbei New Area New Material Science and Technology Park through its wholly-owned subsidiary Nanjing Chengzhi New Material Co., Ltd. (hereinafter referred to as "Chengzhi New Material"). The total investment for the project is approximately RMB 3.901 billion.
2. On April 13, 2026, the Company held the 16th meeting of the 8th Board of Directors, which, by a vote of 6 in favor, 1 against, and 1 abstention, approved the "Proposal on Chengzhi New Material's Investment in the Ethylene Value Chain Extension and High-End Optical New Material Project."
3. According to the "Rules Governing the Listing of Stocks on the Shenzhen Stock Exchange" and the "Articles of Association" of the Company, this external investment matter does not require submission to the shareholders' meeting for deliberation.
4. This transaction does not constitute a related-party transaction and does not constitute a major asset restructuring as stipulated in the "Measures for the Administration of Major Asset Restructuring of Listed Companies."
II. Introduction to the External Investment Entity
The ethylene value chain extension and high-end optical new material project will be implemented by Chengzhi New Material as the investment entity.
Enterprise Name: Nanjing Chengzhi New Material Co., Ltd. Enterprise Type: Limited Liability Company (Wholly-owned by a legal person, not invested or controlled by natural persons) Unified Social Credit Code: 91320191MA1UX21J3E Legal Representative: Tan Bin
Chengzhi Co., Ltd.
Registered Capital: RMB 100 million Date of Establishment: January 16, 2018 Address: No. 208 Zhaoqiaohe Road, Jiangbei New Area, Nanjing
Business Scope: Production and sales of polyether polyols; production and sales of potassium sulfate; sales of chemical products; import and export business of various commodities and technologies; property and land leasing services; environmental engineering construction; installation of chemical equipment; technical transformation services for industrial equipment; freight forwarding. (Business activities that require approval according to law can only be carried out after approval by relevant departments). General items: Manufacturing of synthetic materials (excluding hazardous chemicals); sales of synthetic materials (excluding items subject to approval according to law, business activities can be carried out independently with the business license).
Equity Relationship: The Company's wholly-owned subsidiary Nanjing Chengzhi holds 100% equity in Chengzhi New Material.