Li Zhong Group and Kunlun New Materials signed a joint venture cooperation agreement, Shanli Xin will no longer be included in the consolidated financial statements.

On November 8, Lichuang Group announced on its interactive platform that the company recently signed a joint venture cooperation agreement with Kunlun New Materials. The company plans to transfer, acquire, and increase capital in the equity of its subsidiary Shanli Xin. After this transaction is completed, the company's shareholding in Shanli Xin will be reduced to 45.1546%, and Shanli Xin will no longer be included in the company's consolidated financial statements. With the introduction of Kunlun New Materials as a strategic investor, Shanli Xin will leverage its high-quality customer resources and mature channel advantages to successfully enter the upstream battery industry chain, expanding its product market space. Through capital injection, technological empowerment, and market introduction, Shanli Xin will accelerate the technological iteration of its liquid battery electrolyte key materials, optimize costs, and enhance profitability. In the field of solid-state batteries, Shanli Xin and Kunlun New Materials' subsidiary Kunlun Advanced Materials will jointly conduct in-depth cooperation in key areas such as sulfide electrolytes and oxide electrolytes through research and development, trial production, sales, and equity investment. They will strive to achieve strategic cooperation or business cooperation with relevant solid-state battery companies, realizing the value win-win of shareholders in industrial synergy.