Dongyang Huatong Animal Husbandry Co., Ltd. announced that it has entered into capital increase and share purchase agreement to issue 50,000,000 shares at a price of CNY 1 per share for gross proceeds of CNY 50,000,000 on January 30, 2021. The transaction will include participation from Zhejiang Huatong Meat Products Co., Ltd. (SZSE:002840) for CNY 28,000,000, Yao Yajun for CNY 12,000,000 for 12% stake, Zheng Hui for CNY 5,000,000 for 5% stake, and Hu Mengru for CNY 5,000,000 for 5% stake. Post to the transaction, the registered capital of the company will increase from CNY 50,000,000 to CNY 100,000,000 and the stake held by Zhejiang Huatong Meat Products Co., Ltd. (SZSE:002840) will decrease from 100% to 78%. The transaction has been approved in the fifth meeting of the fourth board of directors of the company. The industrial and commercial equity registration change will be made within 5 working days after the agreement becomes effective.