Dawn Polymer Acquired 100% Equity of Guangdong Hyundai

On the evening of September 18th, Dawn Polymer issued a statement that its board of directors had reviewed and approved a proposal to acquire 100% equity of Guangdong Hyundai Engineering Plastic Co., Ltd. (referred to as "Guangdong Hyundai") with a total of CNY 97 million. Following the completion of this acquisition, Guangdong Hyundai will become a wholly-owned subsidiary of Dawn Polymer.

On the same day, Dawn Polymer signed a "Equity Transfer Agreement" with  HDC Hyundai EP Company, the controlling shareholder of Guangdong Hyundai.  According to the announcement, Guangdong Hyundai was established in 2002 in the Dawang Industrial Zone of Zhaoqing High-tech Industrial Development Zone in Guangdong Province, which primarily engages in the production and operation of various high-performance specialty plastic products.

Guangdong Hyundai, as a subsidiary of HDC Hyundai EP Company, previously mainly provided supporting services to Korean-owned automobile companies. As a Chinese thermoplastic elastomer A-share listed company, a nationall high-tech enterprise and a "little giant" enterprise with specialization, refinement, differentiation, and innovation, Dawn Polymer is one of the leading enterprises in the field of modified plastics in China. It belongs to the same industry as Guangdong Hyundai, so they have an industrial foundation for cooperation.

According to the introduction, many of Dawn Group's downstream customers are located in Guangdong Province and its surrounding areas. Previously, the company primarily supplied products from its northern factories, which involved long-distance transportation and higher costs. With this acquisition completed, the company will be able to provide closer support to its customers, significantly reducing costs, and aligning with the company's guiding principle of "creating value for customers."

"The southern region is an important manufacturing base for China. With large-scale industries of household appliances and automobiles, etc, they have extensive demand for high-performance modified plastics." The representative of Dawn Polymer stated that after the completion of acquisition, it would also benefit the company's business expansion in the southern region, optimize the industrial regional layout, enhance the company's overall competitiveness, align with the company's strategic development plan, and play a positive role in the company's long-term future development.