CHINA COMM CONS (01800) announced that on August 29, 2025, Sinohydro International, CCCC Second Highway Consultants, and the Seventh Company entered into a capital injection agreement. Under this agreement, Sinohydro International has agreed to inject RMB 346 million in cash into the Seventh Company.
Following completion of the capital injection, the Seventh Company will cease to be a subsidiary of the company, and its financial performance will no longer be consolidated into the company's consolidated financial statements.
According to the announcement, Sinohydro International is a specialized domestic and international integrated operating entity under CCCC Group, focusing on water conservancy, electric power, and new clean energy businesses. The Seventh Company has deep roots in the resource-rich Beibu Gulf regional market for water conservancy, electric power, and new clean energy, and has long been engaged in infrastructure construction business with an established customer base and industry reputation.
The capital injection will combine Sinohydro International's advantages in water conservancy, electric power, and new clean energy fields with the Seventh Company's geographical advantages and existing resources. This will effectively support the Seventh Company in expanding its business segments, enhance its core competitiveness, promote diversified development, and achieve sustainable growth. This will further increase the group's participation in water conservancy and hydropower engineering projects, accelerate the development of water conservancy business, and ultimately benefit the overall interests of the company and its shareholders.