Ningxia Xinhua Chemical Co., Ltd. announced a private placement of common shares for gross proceeds of CNY 60,000,000 on October 16, 2020. The transaction will involve participation from existing investor, Zhejiang Xinhua Chemical Co.,Ltd (SHSE:603867). Post-closing of the transaction, the registered capital of the company will increase from CNY 100,000,000 to CNY 160,000,000. Post-closing, Zhejiang Xinhua Chemical Co.,Ltd (SHSE:603867) will continue to retain its 100% stake in the company. The transaction has been approved at the fourth meeting of the fifth session of its board of directors.