Tuoqiu Shares Acquired 51% Equity of Liaoning Futuo for 30 Million Yuan

On March 18, 2022, Tuoqiu issued an announcement stating that Tuoqiu Biotechnology (Lanzhou) Co., Ltd. (hereinafter referred to as "Toobi Bio"), a holding subsidiary of Tuoqiu, according to the company's future development needs, on February 10, 2022 Signed an equity transfer agreement with Beijing Wangya New Energy Technology Co., Ltd. to acquire a 51% stake in Liaoning Futuo New Energy Materials Co., Ltd. for RMB 30 million. The industrial and commercial change was completed on February 15, 2022.

According to the audited 2020 consolidated financial statements of Touqiu, as of December 31, 2020, the company's total assets were 587,585,795.20 yuan, and the net assets attributable to shareholders of the listed company were 423,581,697.90 yuan.

Before the completion of the equity transaction, Beijing Wangya New Energy Technology Co., Ltd. held 100% of the equity of Liaoning Futo, and the asset acquisition amount was RMB 30 million. Liaoning Futuo was established in 2013 and its registered address is located in Fuxingdi Village, Yimotu Town, Fumeng County, Fuxin City, Liaoning Province (fluorine chemical industry base). The net assets are RMB 60,964,605.12. From January to December 2021, the operating income is 471,975,002.00 yuan, and the net profit is 1,438,723.46 yuan.

According to the official website of Liaoning Futuo, the company mainly produces sodium trifluoromethane sulfinate, trifluoromethyl thionyl chloride, permethrin, biphenyl alcohol, tebuconazole and intermediates, o-chlorobenzonitrile, 1, 2-Dibromo-2,4-dicyanobutane. Products are mainly sold to India, South America and other regions.