Chongqing Iron & Steel Finalises Capital Injection into Baowu Units After Valuation Adjustments

Chongqing Iron & Steel Co., Ltd. Class H ( (HK:1053) ) has shared an announcement.

Chongqing Iron & Steel Company Limited has completed the execution of a capital injection agreement involving Baowu Environment and Baowu Water, finalising a connected transaction first announced in May 2026. The deal is based on state-approved valuations of the two Baowu entities’ net assets, reflecting notable appreciation in Baowu Environment and modest gains in Baowu Water.

Following the competent authority’s final valuation, the appraised equity value of Baowu Environment was confirmed at RMB7,455 million and Baowu Water at RMB3,612 million, resulting in small downward adjustments from previously disclosed figures. The value of the Baowu Water equity interests contributed by Chongqing Iron & Steel was slightly reduced, but the overall capital contribution amounts and shareholding percentages of all parties in Baowu Environment remain unchanged, signalling limited impact on ownership structure while formalising the transaction’s financial basis.