Nanning Chemical Industry Co., Ltd. (SHSE:600301) agreed to acquire Guangxi Huaxi Mining Co., Ltd. from Guangxi China Tin Group Co., Ltd. on August 31, 2020. Under the terms, Nanning Chemical Industry will issue A common shares as consideration. The final transaction price of the target asset will be based on an evaluation report issued by an evaluation agency that meets the Securities Law and other laws and regulations and the conditions for engaging in securities service business prescribed by the China Securities Regulatory Commission, and is determined through negotiation between the parties to the transaction. In this transaction, the benchmark date for the issuance of stock pricing for the company to issue A shares to purchase assets is the announcement date of the resolutions of the fourth meeting of the eighth Directorate of Nanning Chemical Industry. On July 30, 2021, Nanning Chemical Industry Co., Ltd. signed the agreement to acquire Guangxi Huaxi Mining Co., Ltd. from Guangxi China Tin Group Co., Ltd. for CNY 2.3 billion. As per the signed agreement, Nanning Chemical Industry Co., Ltd. will issue 357.23 million shares. As of April 30, 2021, Guangxi Huaxi Mining Co., Ltd. has reported total assets of CNY 3.86 billion and net assets of CNY 635.63 million.

The formal plan of this transaction needs to be reviewed and approved by the internal decision-making body of Guangxi Huaxi Group Co., Ltd. The formal plan of this transaction needs to be reviewed and approved by the board of directors and the general meeting of shareholders of Nanning Chemical Industry Co., Ltd. The transaction needs to be reviewed and approved by the State-owned Assets Supervision and Administration Commission of Guangxi Autonomous Region; The formal plan of this transaction needs to be reviewed and approved by the internal decision-making body of Guangxi Huaxi Group Co., Ltd.; The transaction needs to be reviewed and approved by the China Securities Regulatory Commission and Other possible approvals or approvals required by relevant laws and regulations. The State-owned Assets Supervision and Administration Commission of Guangxi Autonomous Region has issued a pre-audit opinion and agreed to this transaction; The summary of the transaction plan has been reviewed and approved at the fourth meeting of the eighth directorate of the company. As of October 27, 2021, the documents for acceptance to China Securities Regulatory was received. The transaction was approved by the shareholders of Nanning Chemical Industry on September 15, 2021. As on Janury 20, 2023, Transaction has been approved by China Securities Regulatory Commission.

Liu Erdong and Ceng Liang of BOC International (China) CO., LTD (SHSE:601696) while Liang Dingjun and Tan Jin of Grandall Law Firm acted as financial and legal advisors to Nanning Chemical Industry Co., Ltd. respectively. Wuyige Certified Public Accountants LLP acted as accountant to Nanning Chemical Industry Co., Ltd.

Nanning Chemical Industry Co., Ltd. (SHSE:600301) completed the acquisition of Guangxi Huaxi Mining Co., Ltd. from Guangxi China Tin Group Co., Ltd. on January 31, 2023.