Hainan Rubber intends to hold Sinochem International Rubber Business

On November 16, Hainan Rubber and Sinochem International issued separate announcements, announcing that the two parties would hand over the natural rubber business
.

According to the draft report on the disclosure of major asset purchases issued by Hainan Rubber, the company intends to acquire 574 million issued ordinary shares of HAC Company (hereinafter referred to as Halcyon Company), a company listed on the Singapore Stock Exchange, held by Sinochem International (Singapore) Limited (hereinafter referred to as Sinochem) through overseas SPVs for a transaction consideration of approximately US$181 million
.
After the completion of the transfer of the agreement, Hainan Rubber will become the indirect controlling shareholder
of Halcyon.

On the same day, Sinochem International also issued an announcement that Sinochem is a wholly-owned subsidiary of Sinochem International, and the subject of this transaction is the equity of Sinochem International's company listed in Singapore, that is, Sinochem International's natural rubber business segment
.
After the completion of the transfer of this agreement, Hainan Rubber overseas SPV will hold 36% of the shares
of Halcyon.
Sinochem's stake in Halcyon was reduced to 29.
2%.

It is reported that Hainan Rubber is controlled by Hainan Agricultural Reclamation Group and is the only listed company
in the domestic A-share market for natural rubber planting and processing.
Hainan Rubber said that after the completion of the transaction, the company will quickly obtain the overseas processing capacity of natural rubber and latex, which will help further enhance the discourse power and influence
of natural rubber in the international market.
At the same time, it will also obtain the downstream customer resources of Halcyon, and use the European and American trade network of the target company to further cut into the global natural rubber trade and expand the scale of
natural rubber trading business.

Halcyon is a natural rubber business platform company
of Sinochem International, a subsidiary of Sinochem.
Sinochem said that it will support Sinochem International and Hainan Agricultural Reclamation Group to jointly build a world-leading natural rubber industrialization platform and better carry the mission
of national natural rubber strategic resource guarantee.

Hainan Rubber said that in the future, it will give full play to its advantages in the field of natural rubber industry chain, rely on the domestic super large market scale, make full use of the domestic and international two markets and resources, enhance the allocation and integration ability of global natural rubber resources, meet the needs of national natural rubber basic industrial raw materials, and continuously improve the country's control over natural rubber resources and international discourse
.