Xinjiang Tianye (600075.SH) plans to increase its capital to Wenlv Investment Company with the assets of the original 810 Sugar Factory valued at 62.6781 million yuan.

Xinjiang Tianye (600075.SH) announcement, the target company to be invested by the company this time is Shihezi Cultural Tourism Investment Group Co., Ltd. (referred to as "Cultural Tourism Investment Company" or "Target Company"). The company is positioned to engage in cultural tourism project investment and financing, tourism resources and related industry development and operation. It is a wholly-owned subsidiary of Shihezi Urban Construction Investment Group Co., Ltd., a state-owned holding company under the Eight Division State-owned Assets Supervision and Administration Commission of Xinjiang Production and Construction Corps (referred to as "Eight Division State-owned Assets Commission"). The equity structure of the Urban Construction Investment Group is as follows: the Eight Division State-owned Assets Commission holds 68.48% equity, China Nongken Major Construction Fund Co., Ltd. holds 23.91% equity, and the Xinjiang Production and Construction Corps State-owned Assets Supervision and Administration Commission holds 7.61% equity. The Eight Division State-owned Assets Commission indirectly controls the Cultural Tourism Investment Company through holding the Urban Construction Investment Group. The original 81 Sugar Factory is an important part of the social memory in Xinjiang, carrying the memories of urban residents and industrial workers. Its buildings have typical and representative characteristics in the traditional industrial development of Xinjiang and even the western region. Its factory buildings and industrial equipment have significant historical significance. According to the "Notice of the Xinjiang Production and Construction Corps on announcing the second batch of cultural relics protection units of the Corps" (Xin Bing Fa [2017] No. 41), some buildings of the original 81 Sugar Factory in the West Industrial Area of Shihezi City are listed as the second batch of cultural relics protection units of the Xinjiang Production and Construction Corps; according to the Second Batch of Historical Buildings Protection List of the Eight Division Shihezi City, some buildings of the original 81 Sugar Factory are listed as historical buildings. With government guidance and promotion, the target company has launched and implemented the "81 Sugar Factory Industrial Heritage Cultural and Creative Block Infrastructure Project" and has decided to introduce funds by increasing capital and expanding its business scale. With the approval of the Eight Division State-owned Assets Commission, the company and the Urban Construction Investment Group jointly increase the capital of the target company through a non-public agreement. The company increases the capital of the target company with the aforementioned original assets of the 81 Sugar Factory, while the Urban Construction Investment Group increases the capital of the target company with cash, equity, or physical assets, achieving a win-win cooperation among all parties. The value of the company's physical assets is determined to be 62.6781 million yuan. The company owns some buildings of the original 81 Sugar Factory, which are listed as cultural relics protection units, and have typical and representative characteristics in the traditional industrial development of Xinjiang and even the western region of China. The use of these factory buildings and industrial equipment is greatly restricted. The "81 Sugar Factory Industrial Heritage Cultural and Creative Block Infrastructure Project" launched and implemented by the target company is in line with national industrial policies and local government development plans, and has significant environmental and social benefits.