Chongqing Water Affairs intends to acquire 100% of the equity of Yujiang Water Affairs for 354 million yuan.

Chongqing Water Affairs Announcement: The company has acquired 100% equity of Yujiang Water Affairs held by Chongqing Water Investment for 3.54 billion yuan. This transaction constitutes a related party transaction, but does not constitute a major asset restructuring. The purpose of this transaction is to gradually resolve industry competition, enhance the company's operating scale and market share in the water supply business in Banan District, Chongqing. The counterparty of the transaction is a wholly-owned subsidiary of Chongqing Water Affairs Environmental Group, the indirect controlling shareholder of the company. The transaction price is based on the valuation of all equity of Yujiang Water Affairs shareholder on the valuation date of April 30, 2025, as determined through negotiations between the parties. The transaction funds are from the company's own funds, and the payment arrangement is divided into three stages, to be paid in full no later than one year from the effective date of the agreement.