China Railway Construction Corporation Limited (“CRCC”), whose shares are listed on both the Hong Kong Stock Exchange and the Shanghai Stock Exchange, announced on October 31, 2025, that it has entered into equity transfer agreements with eight investors to acquire all minority stakes in four subsidiaries—China Railway 11 Bureau, China Railway Construction Group, CRCC Investment Group, and Kunlun Investment—for a total cash consideration of RMB11 billion.

Based on the announcement, the transaction will consolidate each subsidiary into a wholly-owned entity under CRCC. The four subsidiaries have seen growth in audited net assets between 2019 and 2024, and CRCC is purchasing the minority interests at the original acquisition cost incurred by the investors in 2019. CRCC’s board deems the terms fair given the subsidiaries’ increases in net assets during the period.

Among the sellers, Taiping Life Insurance Co., Ltd. and BOC Financial Asset Investment Co., Ltd. are classified as connected persons at the subsidiary level under Hong Kong Listing Rules. This status triggers applicable reporting and announcement requirements for discloseable and connected transactions but exempts CRCC from circular and shareholder approval obligations.

The board states that this purchase will enhance CRCC’s control over these subsidiaries, improve the company’s risk resilience and long-term profitability, and remain in the interests of CRCC and its shareholders as a whole.