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Explanation on the situation of listed transfer of shares held by shareholders

Time:2020-08-19

The shareholders of Guangxi Wuzhou Richeng forest products and Chemical Co., Ltd. (hereinafter referred to as "the company") are Cangwu Rongsheng Asset Management Co., Ltd. (holding 30%) and Hong Kong rosin resources investment Co., Ltd. (holding 70%).

Hong Kong rosin resources investment Co., Ltd. (Hong Kong company) invested in the company in December 1997. In the past 20 years, Hong Kong company has been supporting the company. The company has developed steadily and is a leading enterprise in Guangxi rosin processing. Due to the strategic adjustment of Hong Kong company's investment, Hong Kong company will transfer 70% of its shares in Beibu Gulf equity exchange.

The board of directors and management of the company are very clear about the will and determination of the company's sustainable operation and development. At present, the company's production and operation are normal. At the same time, the company is also working closely with the relevant departments of Wuzhou City, Cangwu county and Longwei district government to actively communicate and plan the preliminary work of the company's relocation. In order to meet the demand of customers for products, the company has implemented the plan to increase the inventory of some products. In addition, the company in the implementation of factory relocation at the same time, the main production line will not stop production, to ensure to meet customer demand for products. The company will continue to cooperate with our customers to create a better tomorrow.