ZHIHUI MINING (02546) plans to acquire a 60% stake in Tibet Dachuan Mining.

ZHIHUI MINING (02546) announced that after the trading session on March 30, 2026, the Company (as the buyer), the seller (as the seller), and Mr. Yang Laiyi have entered into an agreement. The Company has conditionally agreed to acquire, and the seller has conditionally agreed to sell, 60% equity interest in the target company Tibet Dachuan Mining for a cash consideration of RMB 90 million. Upon completion of the acquisition, the target company will become a non-wholly owned subsidiary of the Company, and its financial performance will be consolidated into the Group's financial performance. The Group is mainly engaged in the exploration, mining, production, and sale of non-ferrous metals such as zinc, lead, copper, and silver ores. As disclosed in the prospectus of the initial public offering, one of the Group's strategies is to extend and expand its business presence and market share in the Tibet Autonomous Region through investment and acquisition activities. In addition, the Group has planned and allocated a portion of the proceeds from the initial public offering for this purpose. The target company is very suitable for the business needs and corporate goals for the following reasons: a) Its potential reserves of lead and zinc ores will help increase the total resource reserves of the Group, not only strengthening and supporting the future production growth momentum of the Group, but also enhancing the overall value of the enterprise through an increase in ore reserves. b) The reserves of copper and molybdenum ores will not only significantly increase revenue and profit levels (benefiting from high copper and molybdenum metal prices), but also expand the Group's metal product portfolio, diversify risks, and enhance the ability of the enterprise to withstand adverse risk impacts. c) It aligns with the Group's expansion strategy, as it will help extend the Group's business presence to the eastern city of Chamdo in the Tibet Autonomous Region. d) Although the purchased mining area is still in the early stages of the production cycle and no mining operations have been carried out, its present value is relatively low, resulting in a small total investment amount and lower overall investment risk.