Shanxi Huhua Group Co., Ltd. (SZSE:003002) and Changzhi Sheng’an Chemical Technology Co., Ltd. agreed to acquire 51% stake in Shanxi Quansheng Chemical Co., Ltd. from Datong Dongchang Industrial Co., Ltd. for approximately CNY 100 million on February 1, 2021. Post the transaction, Shanxi Huhua Group and Changzhi Sheng’an Chemical Technology will hold 26% and 25% stakes in Shanxi Quansheng Chemical Co., Ltd. for CNY 52 million and CNY 50 million, respectively. The acquisition will be funded through own funds. Shanxi Quansheng Chemical has total assets of CNY 64.01 million and net assets of CNY 52.7 million as of December 31, 2020. Shanxi Quansheng Chemical generated total revenue of CNY 129. 7 million and net profit of CNY 23.9 million for the year ended December 31, 2020. The Board of Directors of Shanxi Huhua Group approved the transaction. Quansheng Chemical completed the registration modification, and obtained the business license issued by the Administrative Approval Bureau of Youyu County.