Lu Thai Textile Co., Ltd. (SZSE:000726) agreed to acquire remaining 25% stake in Shandong Lulian New Materials Co., Ltd. from TAL Apparel Limited for CNY 25.9 million on July 9, 2024. A cash consideration of CNY 25.93 million will be paid by Lu Thai Textile Co., Ltd. As part of consideration, CNY 25.93 million is paid towards common equity of Shandong Lulian New Materials Co., Ltd. Upon completion, Lu Thai Textile Co., Ltd. will own 100% stake in Shandong Lulian New Materials Co., Ltd. The transaction will be financed through equity investment of CNY 25.93 million. As of March 31, 2024, Shandong Lulian New Materials Co., Ltd. reported total assets of CNY 641.35 million and total common equity of CNY 91.91 million.

The transaction is subject to approval of offer by acquirer board. The deal has been approved by the board.