On the evening of February 7, Fumiao Technology (SH688350, share price of 14.60 yuan, market value of 1.783 billion yuan) disclosed that the company's controlling shareholder will change.

It is reported that Jiangsu Feixiang Chemical Co., Ltd. (hereinafter referred to as Feixiang shares), the controlling shareholder of Fumiao Technology, signed a "share transfer agreement" with Yongzhuo Holdings Co., Ltd. (hereinafter referred to as Yongzhuo Holdings) on February 7, and Feixiang shares intend to transfer 36.62 million shares of listed companies (about 29.98% of the company's total share capital) to Yongzhuo Holdings, with a transfer price of 16.38 yuan per share and a total transfer price of 600 million yuan.

In addition, Fu Miao Technology also signed a "strategic cooperation agreement" (hereinafter referred to as the cooperation agreement) with Yongzhuo Holdings, and the two sides will actively explore and cooperate in the company's existing water-soluble polymers, functional monomers, membrane separation products and other fields, focusing on procurement, research and development, production, sales and other links.

On February 8, a reporter from the "Daily Economic News" called Fu Miao Technology, and the company's staff said that the cooperation agreement is currently only a framework agreement, and the follow-up will be specifically negotiated. Yongzhuo Holdings started from the field of steel, and it is also a large water user, and it also has a synergistic effect with the company's products. In addition, the raw material acrylonitrile used by Yongzhuo Holdings in the field of carbon fiber is the same as the raw material required by the company, which will help reduce procurement costs to a certain extent, and will also bring certain improvement and help to the company in the fields of digitalization and going overseas.

According to the above-mentioned staff, the company currently also has some business in the sea, but more through agents and other means, but the company wants to do terminals in the future, and carry out localized applications and layouts abroad, and the layout of Yongzhuo Holdings in the global market can also provide some help for the company.

The controlling shareholder is to be changed

According to the announcement, Feixiang Co., Ltd., the controlling shareholder of Fumiao Technology, holds a total of 59,438,300 shares of the listed company, accounting for 48.66% of the company's total share capital.

After the completion of the transfer, the shares of Fumiao Technology held by Feixiang will be reduced to 22,818,300 shares, and the shareholding ratio will be reduced from 48.66% to 18.68%. Yongzhuo Holdings will hold 36.62 million shares of the listed company, accounting for about 29.98% of the company's total share capital. The controlling shareholder of the company will be changed from Feixiang shares to Yongzhuo Holdings, and the actual controller of the company will be changed from Shi Jiangang to Wu Yaofang, Wu Huifang and Wu Huiying.

According to the official website of Yongzhuo Holdings, the company was founded in Zhangjiagang City, Jiangsu Province, with industries covering steel, new energy, new materials, logistics, construction, finance and trade, etc., with nearly 10,000 employees and an operating income of 160.8 billion yuan in 2023. Yongzhuo Holdings is deeply engaged in the main steel industry, and is committed to providing excellent green steel materials for construction, transportation, machinery, energy and other fields. With an annual output of 10 million tons of steel products, it is sold to 30 provinces (autonomous regions and municipalities) in China and 115 countries and regions around the world.

The

chairman of the board of directors of Yongzhuo Holdings is Wu Yaofang, born in July 1959, and has worked in Nanfeng Medical Equipment Factory, Zhangjiagang Caravan Factory, and Nanfeng Supply and Marketing Cooperative.

Fu Miao Technology said that this transaction will optimize the shareholder structure and introduce controlling shareholders with more advantages in procurement, research and development, production and sales. The change of equity has no impact on the company's personnel independence, asset integrity and financial independence, and the company will still have independent operation capabilities, independent procurement, production and sales systems, independent intellectual property rights, independent legal person status, and continue to maintain the independence or integrity of management institutions, assets, personnel, production and operation, and finance.

The two sides signed a strategic cooperation agreement

The reporter of "Daily Economic News" noticed that Fu Miao Technology also disclosed that the company signed a strategic cooperation agreement with Yongzhuo Holdings. "Through the establishment of strategic cooperative relations, we will make full use of the relevant resources and experience advantages of all parties to further improve the company's business operation and management level." Fu Miao Technology said.

According to reports, at present, Yongzhuo Holdings' non-steel business segment accounts for more than 50% of the revenue, and the company has actual demand for the main products of Fumiao Technology in promoting energy saving, carbon reduction, emission reduction and resource recycling in its industries, especially the steel sector.

The two parties have reached a strategic cooperation, on the one hand, to meet the demand of Yongzhuo Holdings for water treatment and industrial water process chemicals, and to explore and give full play to the application and promotion of Fumiao Technology water treatment and industrial water process chemicals in the upstream and downstream of the iron and steel industry; On the other hand, through Yongzhuo Holdings' industrial empowerment of listed companies in procurement, R&D, production, sales, etc., it can inject new development momentum into the company and enhance the company's core competitiveness and sustainable development ability.

According to reports, the two sides will promote strategic cooperation in the following aspects: develop the application and promotion of listed companies' industrial water treatment and other products in steel and other industries; Collaborative procurement of similar raw materials to help listed companies reduce costs and increase efficiency; Assist listed companies to actively promote digital and intelligent transformation and upgrading; Assist in expanding the scale of export trade of listed companies' products; Assist listed companies to connect with external R&D resources and improve the level of R&D innovation; Use the logistics business layout to assist in reducing the transportation cost of listed companies.

Fu Miao Technology said that the "Strategic Cooperation Agreement" signed this time belongs to the framework agreement of the willingness and basic principles of cooperation between all parties, and does not involve a specific amount. The parties have the right to sign specific cooperation agreements on specific strategic cooperation projects within the scope of the cooperation content agreed in the cooperation agreement. The specific project cooperation period, rights and obligations shall be subject to the specific cooperation agreement signed by all parties. The "Strategic Cooperation Agreement" signed this time will not have a significant impact on the company's operating results in 2024, and the impact on the company's operating results in the future years will be determined depending on the specific contracts signed between the company and the partners and the implementation of the contracts.

Cover picture source: Daily Economic News Photo by Liu Guomei (data map).