This transaction signals a decisive shift for Dongwu Cement, moving entirely away from its traditional cement business to embrace a new strategic direction. With the robust resource backing and policy empowerment from Suzhou state-owned assets, the company is poised for significant development opportunities in its future business endeavors.

Building a New Hong Kong-Suzhou Collaborative Mechanism, Empowering Strategic Transformation

The entry of Suzhou state-owned capital transforms Dongwu Cement from a privately controlled entity into a hybrid-ownership enterprise led by state capital and governed by diverse shareholders. This optimization is expected to significantly enhance the company's governance standards and resource integration capabilities, enabling it to secure greater policy support and capital investment, thereby injecting new development momentum.

Guided by the nation's "dual carbon" policies, the industrial resources and capital operation capabilities of the two Suzhou state-owned shareholders indicate a complete departure from traditional cement production, steering the company towards green industries and emerging economic sectors. Notably, Port & Shipping Group (HK) Investment has been actively deploying in cutting-edge technology fields such as Artificial Intelligence (AI) and the low-altitude economy. Its explorations include:

- Drone logistics networks
- Smart air traffic control platforms
- Smart logistics systems for the Yangtze River Delta port cluster
- Upgrading port logistics

Port & Shipping Group (HK) Investment is committed to supporting the development of the low-altitude economy and the integrated development of the Yangtze River Delta, aiming to create digital application scenarios such as smart ports, smart logistics, and smart shipping, as well as "low-altitude+" characteristic application scenarios. With Port & Shipping Group (HK) Investment's deep involvement in these market-focused hot sectors, Dongwu Cement is expected to enter new growth areas.

Demonstrating Resolve and Potential for Change, Releasing Positive Market Signals

Following the entry of the new shareholders, market observers widely anticipate that Dongwu Cement will firmly implement a comprehensive transformation strategy, progressively exploring and focusing on new segments such as smart warehousing, modern logistics, and the low-altitude economy. Stakeholders expect Dongwu Cement to fully leverage its resource and geographical advantages to actively build a diversified, forward-looking industrial development landscape, injecting new vitality and fostering more resilient and sustainable growth momentum.

Furthermore, in line with Suzhou City's strategy to promote industrial upgrading, Dongwu Cement intends to explore an innovative "Hong Kong Capital Platform + Suzhou Industrial Landing" cooperation model, establishing an efficient bridge between capital and industry. By leveraging its advantage as a Hong Kong-listed international platform, Dongwu Cement will become a crucial window for Suzhou state-owned capital to expand into international capital and resource integration, potentially assisting more Suzhou enterprises to "go global" and attract high-end industrial resources in the future. The low-altitude economy, in particular, is a national priority industry offering immense development potential and market opportunities, benefiting from both policy dividends and significant market space.

Investors will witness a robust and transformative entity. Under the backdrop of Suzhou state-owned capital, this transformation and strategic shift by Dongwu Cement fully reflect the state's strong support and investment confidence in corporate upgrading. The company's future pivot towards emerging fields, relying on Hong Kong's international capital advantages and synergy with Suzhou's physical industries, aims to construct a forward-looking new value blueprint for investors. This undoubtedly sends a positive signal to the market, showcasing Dongwu Cement's determination and potential for change in the new economic era.

Posted by All Way Success Company Limited for Dongwu Cement International Limited 
http://www.dongwucement.com/cn/Index.aspx  [HKSE:0695]