On the morning of August 17, the restructuring signing ceremony between Shanxi Huhua Group Co., Ltd. and Handan Anshun Chemical Technology Co., Ltd. of A-share listed companies and leading enterprises in the civil explosion industry was held in Cixian County, Hebei. Handan Municipal People's Congress Deputy Director of the Standing Committee, Cixian County Party secretary Chen Zhenli, deputy secretary of the county Party Committee, Yan Xinxin, deputy secretary of the county Party Committee Yang Yuxing, Director of the Standing Committee of the National People's Congress Wang Qinglong, CPPCC Chairman Lin Baobin, Standing Committee of the county Party Committee, deputy county magistrate Niu Jianying, deputy county magistrate, Public security chief Wen Junhua, deputy county magistrate, resources director Zhang Hongbin and other four sets of team leadership, And the county commission office, the government office, the finance bureau, the Science and Industry Bureau, the Human Resources and Social Security Bureau, the Audit Bureau, the Justice Bureau and other departments in charge attended the signing ceremony. Huhua Shares Chairman Qin Dong, Party secretary Qin Yuezhong, deputy general manager Zhang Zhibing, deputy general manager Zhang Hong attended the signing ceremony.

【 Signing Ceremony 】

[Picture shows Qin Dong (right), chairman of Huhua Shares, and Liu Fengmin (left), director of Cixian State-owned Assets Management Center, sign the 100% equity transfer agreement of Anshun Chemical]

(Cixian four sets of team leaders and Huhua shares related leaders in the back to help sign)

Anshun Chemical is located in Cixian County, Hebei Province, is a state-owned enterprise engaged in the production of industrial explosives, formerly known as Cixian County Factory, Hebei Province, the main product is expanded ammonium nitrate explosive, the annual approved production capacity of 11,000 tons. In this merger and reorganization, Huhua Shares invested 116 million yuan and transferred 100% shares of Anshun Chemical, and Anshun Chemical became a wholly-owned subsidiary of Huhua Shares and was included in the scope of consolidated statements.

[The picture shows the speech of Chen Zhenli, Deputy Director of the Standing Committee of Handan Municipal People's Congress and Secretary of Cixian County Party Committee]

At the signing ceremony, Chen Zhenli, deputy director of the Standing Committee of the Handan Municipal People's Congress and secretary of the Cixian County Party Committee, said that he welcomed Huhua shares to invest in Cixian County. Huhua, as a well-known enterprise in the domestic civil explosive industry, has developed rapidly since its listing. He hoped that Anshun Chemical would develop under the leadership of Huhua and make new contributions to Cixian County. The county Party committee and the county government will also further create a better business environment and make every effort to serve the development of enterprises.

This acquisition is an important strategic layout of Huhua Shares to expand the main business of civil explosive, and it is also an important measure to actively implement the "Fourteenth Five-Year Plan" of the civil explosive industry and continue to promote the cross-regional and cross-ownership restructuring and integration of civil explosive enterprises. Hebei is a big mining province with great market potential. Anshun Chemical is located at the border of Shanxi, Hebei, Shandong and Henan provinces, which is conducive to further expanding the company's sales network, expanding the sales radius, and improving the company's market share in Hebei Province and surrounding areas. After signing the contract, Huhua Shares will arrange a working group to enter Anshun Chemical and quickly start work, through the injection of Huhua management and culture, so that Anshun Chemical quickly on the right track, return to normal production and operation, turn losses into profits, achieve high-quality development, and enhance the company's overall profitability and industry competitiveness.

At the signing ceremony, Huhua Shares also reached a strategic cooperation agreement with the Cixian People's Government, and the two sides will further expand cooperation areas in the future, deepen cooperation projects, and carry out strategic cooperation with detonators, explosives, blasting, exports, and military industries as key cooperation directions.

[The picture shows Zhang Hongbin (left), deputy head of Cixian County Government in charge of industry, signing a strategic cooperation agreement with Qin Dong (right), chairman of Huhua Stock on behalf of Cixian County People's Government]