BBMG Corporation's subsidiary company plans to acquire Hengwei Cement and its affiliated enterprises for 428 million yuan.

BBMG Corporation (02009) announced that its subsidiary Tangshan Jidong Cement Co., Ltd. (referred to as "Tangshan Jidong Cement") intends to acquire 100% equity of Liaoning Hengwei Cement Group Co., Ltd. (referred to as "Hengwei Cement") held by two individual shareholders Li Yingke and Li Jinhang through Liaoning Jinzhong New Materials Industry Group Co., Ltd. (referred to as "Liaoning Jinzhong") in cash. They also plan to acquire 70% equity of Liaoyang Hongguang Mining Co., Ltd. (referred to as "Hongguang Mining") held by two individual shareholders Peng Yaohua and Tang Junzhong, and 100% equity of Benxi Yongxing New Building Materials Co., Ltd. (referred to as "Benxi Yongxing") held by two individual shareholders Li Yinghui and Xu Zhenyu. The total consideration for the acquisitions is estimated at RMB 428 million. After completion of the transactions, the aforementioned companies will become subsidiaries within the consolidated financial statements of BBMG Corporation. From the perspective of the target companies, Hengwei Cement, located near Shenyang, has abundant limestone resources and a complete industrial chain layout, possessing certain geographical and cost advantages. As a leading company in the cement industry in Liaoning, it has a strong influence in the industry and is a key factor in the coordinated development of the cement industry in the three northeastern provinces. The acquisition of Hengwei Cement and its related enterprises by Liaoning Jinzhong is economically feasible. It also aligns with the company's strategic layout focusing on the Beijing-Tianjin-Hebei region, integrating North China, with the Northeast and Northwest as the two wings, conducive to further strengthening and optimizing the company's cement business. It helps to implement the requirements to combat "internal competition", potentially boosting the overall profitability of the regional industry and promoting the sustainable development of the cement industry in Liaoning and even the wider Northeast region, thereby supporting the high-quality development of the company's core cement market in the Beijing-Tianjin-Hebei region.