Zhitong Finance App News, Baoji Capital (08168) announced that the Group signed an acquisition agreement through a wholly-owned subsidiary located in the People's Republic of China (China) to acquire a Chinese patent, namely Lactobacillus genetically engineered bacteria and its application, which is used to produce feed for livestock. The patented technology is used for lactic acid fermentation of forage to produce silage with better quality and nutrition.

According to the “Opinions of the General Office of the State Council on Promoting High Quality Development of Animal Husbandry” and the “14th Five-Year Plan for the Development of the National Fodder Industry” issued by Chinese government departments in September 2020 and February 2022, respectively, it is stated that, among other things, China focuses on developing animal husbandry and the supply of fodder. Animal husbandry and forage are also key basic industries in China. Therefore, the company believes that China's feed industry is a sustainable market with potential for growth, and the acquisition provides the Group with opportunities to diversify revenue streams.