MAANSHAN IRON (00323) plans to transfer a 92% equity stake in Ma'anshan Magang Cihu Steel Processing and Distribution for RMB 136 million.

MAANSHAN IRON (00323) announced that on September 29, 2026, the Company entered into an equity transfer agreement with Magang Group, pursuant to which the Company agreed to transfer to Magang Group a 92% equity interest in the target company (Ma'anshan Magang Cihu Steel Processing and Distribution Co., Ltd.) held by the Company, and Magang Group agreed to acquire a 92% equity interest in the target company held by the Company, at a transfer consideration of RMB 136 million. Upon completion of the equity transfer, the Company will no longer hold any equity interest in the target company. The target company's principal businesses are cold rolling, galvanizing, silicon steel, color coating processing, distribution, and warehousing services. The equity transfer is conducive to the Company recovering approximately RMB 136 million in funds, divesting a non-core asset that has exited the steel extension processing business and recorded a loss in the first half of 2026, thereby helping to further improve the Company's asset quality, reduce sources of losses, focus on its core steel business, and enhance liquidity, supporting the Company in achieving long-term sustainable development, recovering funds, and underpinning the Company's high-quality long-term development.