According to Zhitong Finance App, Tongcheng New Materials (09607) announced that on October 15, 2026, Hong Kong Tongcheng Group (a wholly-owned subsidiary of the company) and Gold Dynasty entered into a capital increase agreement for Hong Kong Tongcheng Group and Gold Dynasty to make a total investment of 900 million baht to RA Thailand based on their respective shareholding ratios in RA Thailand. As a result, Hong Kong Tongcheng Group agreed to invest 459 million baht (equivalent to approximately RMB 91.8 million) in RA Thailand.
As of the date of this announcement, RA Thailand is 51% and 49% of Hong Kong Tongcheng Group and Gold Dynasty respectively. After the investment is completed, Hong Kong Tongcheng Group and Gold Dynasty's shares in RA Thailand will remain unchanged, and RA Thailand will continue to be a non-wholly-owned subsidiary of the company.
In March 2025, the company approved the joint establishment of RA Thailand with Gold Dynasty to develop a production facility for the production of rubber additives in Thailand. The investment forms part of the Group's overseas expansion strategy and aims to increase the Group's overseas production capacity, reduce delivery costs, and shorten the delivery cycle for overseas sales, so that the Group can better serve overseas customers and support its future business growth. The proposed investment under the capital increase agreement falls within the total investment amount approved by the company in March 2025, and the company believes that the investment will provide the capital required for the establishment of production facilities and the operation of RA Thailand.