Subsidiary of BGT Group Co., Ltd. (300774.SZ) plans to acquire a controlling stake in Dahao Mining to integrate the upstream and downstream of the industry chain.

BGT Group Co., Ltd. (300774.SZ) announced that its wholly-owned subsidiary, BGT Group Co., Ltd. (Beijing) New Material Technology Co., Ltd. (referred to as "BGT Group Co., Ltd. New Materials"), plans to acquire 55% equity of Dashan Mining Development Co., Ltd. (referred to as "Dashan Mining"), held by Tang Wei, Longyan Xiaoniangkeng Mining Co., Ltd. (referred to as "Xiaoniangkeng Mining"), and Wang Yucai totaling 225 million yuan with its own funds or self-raised funds. After the completion of the transaction, Dashan Mining will be included in the company's consolidated financial statements. The announcement states that Dashan Mining has not yet been profitable, mainly due to the fact that its mines have not completed construction and development, leading to no operations. This acquisition is part of an upstream and downstream industrial chain merger, with the core objective of connecting the upstream and downstream of the industrial chain to improve the efficiency and risk resistance of the entire chain. This transaction is based on the reserve of this technology and aims to lock in key raw material suppliers in the upstream, achieve industrial application of the entire chain, and integrate from the end "recovery" link to the front "raw material" and "smelting" link, connecting the entire industry chain including antimony mining, antimony smelting, antimony production, antimony recovery, and antimony resource security. The acquired antimony resources can meet the company's self-use needs, and after the completion of the transaction, it will help the company achieve stable raw material supply and cost control, and improve the efficiency and risk resistance of the entire industrial chain.