Huafon Chemical announced that the company intends to acquire 100% equity of Zhejiang Huafon Synthetic Resin Co., Ltd. and 100% equity of Zhejiang Huafon Thermoplastic Polyurethane Co., Ltd. through the issuance of shares and cash payment. The total transaction amount is 6 billion yuan, of which Huafon Chemical will issue shares and pay cash to Huafon Group, You Xiaoping, You Jinhua, and You Xiaohua to purchase 100% equity of Huafon Synthetic Resin; and issue shares and pay cash to Huafon Group to purchase 100% equity of Huafon Thermoplastic. This transaction constitutes a related party transaction and will not result in a change of the company's actual controller after completion