Xinfengming Group (603225.SH) wholly-owned subsidiary is planning to increase its capital to its subsidiary Hongyi Thermal Power by 95 million yuan.

Xinfengming Group (603225.SH) announced that its wholly-owned subsidiaries Tongxiang Zhongwei Chemical Fiber Co., Ltd. ("Zhongwei Chemical Fiber") and Tongxiang Linhang Economic Development New Town Development and Construction Co., Ltd. ("Linhang New Town Development and Construction") have jointly increased the registered capital of Tongxiang Hongyi Thermal Power Co., Ltd. ("Hongyi Thermal Power") by RMB 100 million yuan with their own funds, according to their shareholding proportions. After the increase, the registered capital of Hongyi Thermal Power has changed to RMB 150 million yuan. Zhongwei Chemical Fiber contributed RMB 95 million yuan, accounting for 95% of the registered capital of Hongyi Thermal Power, while Linhang New Town Development and Construction contributed RMB 5 million yuan, accounting for 5% of the registered capital of Hongyi Thermal Power. Hongyi Thermal Power remains a subsidiary of Zhongwei Chemical Fiber. The capital increase by Zhongwei Chemical Fiber to its subsidiary Hongyi Thermal Power will further improve the financial structure of Hongyi Thermal Power and promote its sustainable and stable development.