On October 28, 2026, Zhejiang Jihua Group Co., Ltd. (603980.SH; hereinafter “Jihua Group”), a subsidiary of Global New Material International Holdings Limited (06616.HK; hereinafter “Global New Material International”), convened its third extraordinary shareholders’ meeting of 2026 and the first meeting of the Sixth Board of Directors, thereby completing the transition of the Board of Directors. Su Ertian, Chairman of the Board and Chief Executive Officer of Global New Material International, was elected Chairman of the Sixth Board of Directors of Jihua Group.
On the same day, Jihua Group held an inauguration ceremony for the Sixth Board of Directors under the theme “Carrying Forward the Legacy, Embracing the Future with One Heart.” Shao Bojin, Founder of Jihua and Shao Hui, Chairman of the Fifth Board of Directors , as well as members of both boards and senior management attended the event. Shao Bojin reflected on Jihua’s entrepreneurial journey spanning more than 30 years; Shao Hui handed the “Key to Jihua”—symbolizing responsibility and mission—to Su Ertian, marking the smooth transition between the outgoing and incoming Boards of Directors.
In his inaugural address, Su Ertian expressed his respect and gratitude to Jihua Group’s founder, past Boards of Directors, management teams, and all employees. He stated that the partnership between the two parties stems from a shared commitment to industrial development and a recognition of Jihua’s long-term value. The new Board of Directors will cherish Jihua’s industrial legacy, brand reputation, and talent pool; consolidate the core dye business; prudently explore new materials sectors supported by technology and driven by customer demand; and drive Jihua toward becoming a publicly listed company with a more prominent core business, more stable operations, and sustainable growth potential.
Su Ertian emphasized that the new Board of Directors will maintain team stability, respect professional expertise, and support the management team in focusing on operations while creating conditions for employee growth and talent development; it will fulfill responsibilities regarding workplace safety, environmental protection, and product quality, and will thoroughly evaluate and prudently advance major investments and key operational decisions.
The effectiveness of industrial synergy must ultimately be reflected in the continuous improvement of operational quality. Jihua Group will continue to refine and strengthen its core dye business, enhancing operational efficiency through process improvements, cost management, capital utilization, and stable delivery. Global New Material International will provide support tailored to Jihua’s specific circumstances in areas such as R&D collaboration, supply chain coordination, and green process upgrades to drive product portfolio optimization.
On September 29, 2026, Tonglu Junheng Equity Investment Partnership (Limited Partnership) completed the registration of the transfer of a 29.89% stake in Jihua Group, becoming the controlling shareholder of Jihua Group. Global New Material International gained control of Jihua Group through Tonglu Junheng, establishing a dual-listing structure on the Hong Kong Stock Exchange and the A-share market. This change in leadership provides the governance framework necessary for both parties to deepen their industrial cooperation.
Global New Material International’s long-term goal is to build a world-leading platform for surface performance and functional materials. Jihua’s technological and manufacturing foundations in dyes, intermediates, and non-stick coatings complement Global New Material International’s expertise in synthetic mica, effect materials, and surface functionalization technologies. The two parties will leverage business resources such as Chesir, SUSONITY, CQV, and Zhejiang Hongzun to explore R&D collaborations centered on specific products and customer needs, and will conduct phased application validation, process optimization, and engineering evaluations for eligible projects.
In terms of market synergy, Global New Material International will draw on its market service network covering more than 150 countries and regions worldwide to gradually support Jihua’s expansion of overseas operations by addressing product adaptation, customer certification, and local market requirements. Jihua’s industrial support network and customer base in the Yangtze River Delta will also provide support for both parties to expand into textile printing and dyeing as well as related industrial applications.
Both parties will maintain independent and standardized governance, prioritize the overall interests of their respective companies and all shareholders, and conduct cooperation in a fair and transparent manner in accordance with market-oriented principles. Specific projects will be steadily advanced after thorough evaluation based on technical feasibility, customer needs, and returns on ongoing operations. Matters involving investment, financing, mergers and acquisitions, and related-party transactions will be handled in accordance with the law, fulfilling corresponding decision-making and information disclosure obligations to safeguard the legitimate rights and interests of Jihua and all shareholders, particularly minority shareholders. Once the new Board of Directors assumes its duties, Jihua Group will combine its own industrial expertise with Global New Material International’s global resources to consolidate its core business strengths, enhance operational quality, and create long-term value for Jihua and all shareholders.