Xuan Yingnan and Zhang Qiang signed a contract to acquire remaining 51.03% stake in Suzhou Polyma Polymer Materials Co., Ltd. from Shandong Ruifeng Chemical Co., Ltd. (SZSE:300243) for CNY 34 million on October 19, 2021. The consideration consists of cash payment of CNY 20 million within 10 working days from the signing of this agreement and CNY 13.7 million before December 31, 2021. Prior to transaction, Xuan Yingnan, Zhang Qiang held 39.18% and 9.79 % before this transaction; after will hold 80% and 20% respectively.

For the year ending December 31, 2020, Suzhou Polyma Polymer Materials Co., Ltd. reported revenues of CNY 3.75 million and net loss of CNY 1.62 million. As of December 31, 2020, Suzhou Polyma Polymer Materials Co., Ltd. had total assets of CNY 350 million and net assets of CNY 340 million. The transaction has been approved by the board of Shandong Ruifeng Chemical Co., Ltd.