Increase your capital by 600 million! Longyuli strengthens the differentiated management of its subsidiary titanium dioxide powder!

At the 8th meeting of the 7th Board of Directors held on October 16, 2020, long-term Lilian Group Co., Ltd. (the "Company") considered and approved the Bill on Capital Increase for Subsidiaries, and he he hedged the relevant matters as follows:
1. Capital Overview
Company holding subsidiary Lufeng Xinli Titanium Co., Ltd. (hereinafter referred to as "Lufeng Xinli") currently has two production lines of chlorinated titanium dioxide and sponge titanium, in view of chlorinated titanium dioxide and sponge titanium production technology and Process differences, in order to strengthen the differentiated management of the two production lines, improve the level of professional management, Lufeng Xinli proposed to sponge titanium-related assets assessment price of 60,387.37 million yuan into its wholly-owned subsidiary Lufeng Guo Titanium Co., Ltd. (Hereinafter referred to as "Lufeng Guo Titanium"), of which 1 million yuan to pay Lufeng Guo Titanium when the establishment of the registered capital, 60,287.37 million yuan to Lufeng Guo Titanium capital increase, capital increase price of 1 yuan / share. After the completion of the capital increase, Lufeng Guo Titanium's registered capital was changed from RMB 1 million to RMB60,387.37 million, with Lufeng Xinli holding 100%.
relevant provisions such as the Articles of Association and the Shenzhen Stock Exchange Listing Rules, the above-mentioned foreign investment matters are not required to be submitted to the general meeting of shareholders for

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investment does not constitute an associated transaction, nor does it constitute a major asset reorganization as stipulated in the Measures for the Administration of Major Asset Reorganization of Listed Companies.
II, the basic situation of the relevant parties of this capital increase
(i) Lufeng Xinli basic situation:
1, company name: Lufeng Xinli Titanium Co., Ltd.
2, main type: limited liability company
3, registered capital: 15 RMB 00 million
4, unified social credit code:
9153333336580467H
5, founded: April 20, 2015

6, the company's registered place: Yunnan Chuxiong Yi Autonomous Prefecture, Lufeng County, Qinfeng Town Sheep Street
7, legal representative: Liu Hongxing
8, the company's business scope: the selection of titanium iron ore; Industrial sulfate, hydrochloric acid, titanium dioxide, sodium hypochloride, sodium chloride, calcium chloride, titanium alloy, titanium, titanium, titanium tetrachloride production and sales; (Projects subject to approval in accordance with the law, with the approval of relevant departments before carrying out business activities)
.