Securities Code: 002868
Securities Abbreviation: Green Biochemical
Announcement No.: 2026-052
Green Biochemical Co., Ltd.
Announcement on the Progress of the Company's Asset Disposal
The Company and the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or significant omissions.
I. Overview of Previous Transactions
Green Biochemical Co., Ltd. (hereinafter referred to as the "Company" or "Green Biochemical") held the 39th (Extraordinary) Meeting of the Fourth Board of Directors on March 12, 2024, and the 29th Meeting of the Fourth Supervisory Board on March 29, 2024, and the Second (Extraordinary) Meeting of Shareholders in 2024. The proposal "Proposal on the Company's Asset Disposal and Related Party Transaction" was considered and approved, agreeing that the Company would sell certain equipment fixed assets, building fixed assets, and state-owned land use rights located in Putan Biological Professional Park, Pucheng County, Fujian Province (hereinafter referred to as the "Target Assets") to Fujian Putan Thermal Energy Co., Ltd. (hereinafter referred to as "Putan Thermal Energy"). The Company signed the "Asset Transfer Agreement" (hereinafter referred to as the "Original Agreement") with Putan Thermal Energy. For details, please refer to the "Announcement on the Company's Asset Disposal and Related Party Transaction" (Announcement No.: 2024-020) published by the Company in the Securities Daily and on the CNINFO website (www.cninfo.com.cn) on March 14, 2024.
II. Transaction Progress
As of now, due to the complex and time-consuming procedures involved in obtaining the property ownership certificates for the Target Assets, the property rights have not been transferred, and the intended purpose of the Original Agreement cannot be achieved in the short term:
(1) Due to relevant reasons, Putan Thermal Energy has not yet obtained the business qualifications and permits for external treatment of sewage and solid waste as of the date of this announcement, and is unable to independently undertake the treatment business of sewage and solid waste for other parties. Currently, Putan Thermal Energy is leasing the Target Assets back to Green Biochemical primarily for the treatment of sewage and related solid waste generated during Green Biochemical's production process.
(2) Due to relocation and technological upgrading projects, Green Biochemical needs to further expand its sewage treatment capacity and obtain relevant environmental compliance permits.
Given that the intended purpose of the Original Agreement has been delayed and not achieved, and in order to better meet the Company's production and operational needs, the parties have reached a friendly negotiation and decided to terminate this transaction. Neither party shall bear any liability for breach of contract.
On July 20, 2026, the Company held the 36th (Extraordinary) Meeting of the Fifth Board of Directors, which considered and approved the "Proposal on Terminating the Asset Disposal Matter," deciding to terminate this asset disposal transaction and submitting it to the Shareholders' Meeting for authorization for the Company's management to sign the "Termination Agreement of the Asset Transfer Agreement" with the counterparty and handle subsequent settlements and related matters.