Donghua Technology invests in the field of biodegradable materials and DMC

On July 14, Donghua Technology issued an announcement stating that in order to invest in driving engineering business and obtain investment income, the company plans to invest 50 million yuan to jointly invest and establish Xinjiang with Anhui Shuguang Chemical Group Co.

According to the "Supplementary Agreement on Shareholders' Capital Contribution", the registered capital of Shuguang Luhua is 1 billion yuan, of which: the company contributes 50 million yuan in monetary funds, accounting for 5% of the equity; Anhui Shuguang contributes 650 million yuan in monetary funds, accounting for 65% of the equity ; Xinjiang Luyuan invested 300 million yuan with monetary funds, and the equity accounted for 30%

The company cooperates with Anhui Shuguang and Xinjiang Luyuan to invest in the construction of this project, which can expand and strengthen the company's industrial sector, and has positive significance for expanding the company's engineering business in this field