On October 26, Shanxi Huhua Group Co., Ltd. and Jiangsu Zhongxinbang Software Technology Co., Ltd. reached a restructuring agreement, and Huhua shares acquired 40% of Zhongxinbang Technology through capital increase and equity transfer, and became its controlling shareholder. This is an important layout to focus on the main business of civil explosion and extend to the upstream of the industrial chain since the listing of Huhua shares.

Founded in 2017, Zhongxinbang Technology is a high-tech enterprise specializing in chip design and integrated circuit research and development. Its business mainly includes digital electronic detonator chips and consumer electronic products. In the field of electronic detonator chip has a number of patented technologies, the Ministry of Public Security electronic detonator chip manufacturers list.

According to the development plan of the civil explosive industry, by June 2022, the production of ordinary industrial detonators will be stopped, and the use of digital electronic detonators with high public safety coefficient and good blasting performance will be fully promoted. As the core component of digital electronic detonator, chip is concerned and valued by all manufacturers. The reorganization of Huhua Shares and Zhongxin Bang Technology is conducive to the company to play the upstream and downstream synergistic advantages of the civil explosive industry, effectively control production costs, improve product quality, and will make the company's digital electronic detonators occupy an advantage in market competition; At the same time, it will also increase the company's business segment, improve the scale of operation and scientific and technological strength, which will have a positive and far-reaching impact on the future development of the company.