Ge Longhui, December 23 | China Sinotrans (601598.SH) announced that Sinotrans Chemical International Logistics Co., Ltd. (abbreviation: Sinotrans Chemical) and Sinotrans South China Co., Ltd. (abbreviation: Sinotrans South China) intend to jointly invest in the establishment of “Zhanjiang Sinotrans Chemical International Logistics Co., Ltd.” (Tentative name, according to the name finally approved by the market supervision and management department, Sinotrans Chemical Zhanjiang or Joint Venture) for the construction of the Zhanjiang Investment Promotion Bureau Chemical logistics hub project . Sinotrans Chemical and Sinotrans South China invested 104.2447 million yuan and 52.1224 million yuan respectively in cash, and Zhanjiang Port Group invested 52.1224 million yuan in land use rights (95,950.74 square meters) to hold 50%, 25%, and 25% of the joint venture company's shares, respectively; the joint venture will be included in the scope of Sinotrans consolidated statements. After the establishment of the joint venture, it is proposed to use the joint venture as the main body to transfer the land use rights (79,869.16 square meters, abbreviation: underlying asset) of the Zhanjiang Port Group through an agreement. The transaction price is 43.9727 million yuan.

The purpose of establishing a joint venture and purchasing assets is to use the resource advantages of all parties to build the only hazardous chemicals port logistics operation platform for packaged goods in the Zhanmao region according to the needs of the market and strategic customers, and jointly build a resilient supply chain, help Sinotrans accelerate the construction of a chemical logistics multimodal transport hub in the Guangdong-Hong Kong-Macao Greater Bay Area, improve the Sinotrans chemical logistics network, and further enhance the solution capabilities and core competitiveness of the company's integrated logistics solutions.