Chenming Paper (01812) has announced a major asset sale.

On June 12, 2026, the company's wholly-owned subsidiary, Chenming Paper Products Sales, entered into an equity and claim transfer agreement with Yujing Hotel and Shouguang Cultural Tourism Investment.

Under the agreement, Chenming Paper Products has agreed to sell a 90.05% stake in all the equity of Yujing Hotel along with the associated target claims to Shouguang Cultural Tourism Investment.

The total consideration for the transaction amounts to approximately RMB 317 million.

This sum comprises roughly RMB 117 million for the equity portion and about RMB 199.5 million for the claims portion.

The divestment is aligned with the company's strategic focus on its core pulp and paper manufacturing business.

This move is intended to optimize the company's asset structure and reduce operational costs associated with non-core assets.

By concentrating resources on its primary operations, the company aims to enhance its profitability and support the high-quality development of the group.