Zhejiang Feida Environmental Science & Technology Co., Ltd. (SHSE:600526) entered into a framework agreement to acquire 97.95% stake in Zhejiang Fuchun Ziguang Environmental Protection Co., Ltd. from Hang Zhou Iron & Steel Co.,Ltd. (SHSE:600126) on July 30, 2020. Under the terms of transactions, Zhejiang Feida Environmental Science & Technology Co will consideration in cash and shares, issuing shares for 83.26% stake and paying cash for 14.69% stake. In a related transaction, Zhejiang Feida Environmental Science & Technology Co., Ltd. agreed to acquire 51% stake in Zhejiang Environmental Protection Group Xiangshan Co., Ltd. from Zhejiang Province Environmental Protection Group Co., Ltd. The cash consideration for the transaction will be funded through the funds raised by Zhejiang Feida Environmental Science & Technology Co., Ltd. by issuing 141.28 million shares to Hangzhou Iron & Steel Group Co., Ltd. For year ended December 31, 2019, Zhejiang Fuchun Ziguang had total assets of CNY 3.5 billion and net asset of CNY 1.3 billion, revenue of approximately CNY 480 million, Operating profit of CNY 98.7 million and Net profit of CNY 80.4 million. The transaction is subject to the approval of Hang Zhou Iron & Steel Co., Ltd.'s Shareholders', approval of directorate of Zhejiang Feida Environmental Science & Technology Co., Ltd., approval of the State-owned Assets Supervision and Administration Department, approval of shareholders of Zhejiang Feida Environmental Science & Technology Co., Ltd., The State Administration for Market Regulation's Review on Business Concentration Anti-Monopoly (if necessary) and CSRC's Approval. The Board of Directors of Hang Zhou approved the transaction on July 30, 2020. The transaction was approved in the 35th Meeting of Zhejiang Feida Environmental Science & Technology Co., Ltd. 's 7th Directorate and the 23rd Meeting of the 7th Supervisory Board held on July 30, 2020.

Zhejiang Feida Environmental Science & Technology Co., Ltd. (SHSE:600526) cancelled the acquisition of 97.95% stake in Zhejiang Fuchun Ziguang Environmental Protection Co., Ltd. from Hang Zhou Iron & Steel Co.,Ltd. (SHSE:600126) on December 11, 2020.