Guangdong Tengen Industrial Group (003003.SZ) announced that in order to expand its industry chain and enhance market competitiveness, the company plans to sign an investment agreement with Ms. Li Tingting, who has relevant experience in real estate leasing, to jointly invest in Guangdong Tengen Printing and Packaging Industrial Park Co., Ltd. After the establishment of the company, the company will hold 51% of the equity of the printing and packaging industrial park, becoming its controlling shareholder. The printing and packaging industrial park aims to build an efficient integration of the upstream and downstream industry chains of the printing and packaging industry around the company's main business, form a cluster effect to help business development, and focus on property management and supporting service providers.

Based on the strategic positioning of the company's main business, the need for steady operation and effective risk diversification of new businesses, the company has decided to subcontract the property leasing business related to the printing and packaging industrial park. Specifically, the printing and packaging industrial park intends to lease properties such as factories from Guangdong Wanhengtong Home Products Co., Ltd., and then sign a sublease agreement with Dongguan Jiayi, indirectly controlled by Li Tingting and her spouse. This subleasing matter occurs between the company's holding subsidiary and a company indirectly controlled by its minority shareholders, constituting a related party transaction.

Dongguan Jiayi will be responsible for the operation and management of the leasing business. Through close cooperation with Li Tingting, the company can understand the operation of the industrial park leasing, improve the efficiency of supporting service operations, and focus on providing high-quality supporting services for the printing and packaging industrial park to enhance the company's competitiveness.