Subsidiary of Tianjin You Fa Steel Pipe Group Stock(601686.SH) intends to invest 10 million yuan in a joint venture.

Tianjin You Fa Steel Pipe Group Stock (601686.SH) announced that its wholly-owned subsidiary Tangshan You Fa New Building Materials Co., Ltd. (referred to as "Tangshan You Fa New Building Materials") and Tianjin Fengchao Investment Management Partnership Enterprise (Limited Partnership) (referred to as "Tianjin Fengchao Investment") and other partners have jointly signed the "Renai Li Heng (Tianjin) Entrepreneurship Investment Partnership Enterprise (Limited Partnership) Partnership Agreement," to jointly invest in the Renai Li Heng (Tianjin) Entrepreneurship Investment Partnership Enterprise (Limited Partnership). The total intended capital commitment of all partners is 100 million yuan, with Tangshan You Fa New Building Materials intending to contribute 10 million yuan of its own/self-raised funds, accounting for 10% of the total capital commitment. With a focus on the core business and ensuring the normal operation of the main business, the company, in cooperation with professional investment institutions, aims to take advantage of the industry insights, project resources, and risk control advantages of professional investment institutions, moderately expand into emerging fields or high-quality assets, optimize the company's asset allocation structure, diversify the risks of operating in a single industry, improve the efficiency of the use of proprietary funds and overall investment return, and create long-term stable value for the company and all shareholders, in line with the company's development strategy.