Tianjin Pengling Group (300375.SZ) plans to establish a holding subsidiary, Hualing Zhiyu, in partnership with Shanghai Kunli Investment.

Announcement from Tianjin Pengling Group (300375.SZ): the company is planning to jointly invest 30 million RMB with its affiliate Shanghai Kunli Management Consulting Partnership Enterprise (Limited Partnership) (hereinafter referred to as "Shanghai Kunli") to establish a holding subsidiary Shanghai Hualing Zhiyu Auto Parts Co., Ltd. (proposed name, referred to as "Hualing Zhiyu"). The company plans to invest 24 million RMB with its own funds, holding 80% equity of Hualing Zhiyu; Shanghai Kunli plans to invest 6 million RMB, holding 20% equity of Hualing Zhiyu. According to the announcement, in order to promote the stable and rapid development of the company's thermal management system project, gather the core technical team of the project, achieve early sales of products in target markets, and form a sustainable development model where the company, management, and employees share risks, benefits, and grow together, the company has established Shanghai Kunli as an employee stock ownership platform to invest in Hualing Zhiyu.