Gelonghui Food (603170.SH) announced on March 8, that in order to further increase and expand production capacity, enhance the level of intelligent production, and strengthen the company's market competitiveness in the field of compound seasonings, Shanghai Baorun, a wholly-owned subsidiary of the company, plans to invest in and set up an intelligent production base construction project in the Tinglin Town Industrial Zone, Jinshan District, Shanghai. The Tinglin Town People's Government will provide land to Shanghai Baorun within the Tinglin Town Industrial Zone. Shanghai Baorun plans to sign a “Land Concession Agreement” with the Tinglin Town People's Government.
Shanghai Baorun plans to invest in a 31.14-acre plot (provisional area, based on actual land surveyed area) and set up an intelligent production base construction project (“Project” for short) in the Tinglin Town Industrial Zone, Jinshan District, Shanghai. The final land concession price was assessed by a third-party professional agency on the government procurement list selected by the Shanghai Jinshan District Bureau of Planning and Natural Resources (“Bureau of Capital Regulation”) as a reference basis. After going through the bidding process, the amount agreed in the officially signed state-owned land use rights concession contract shall prevail. Shanghai Baorun plans to invest no less than 278 million yuan in fixed assets.