China Modern Dairy Holdings Ltd. (CMD) (Stock Code: 1117) and China Shengmu Organic Milk Limited (CSM) (Stock Code: 1432) jointly announced an update regarding the possible mandatory conditional cash offer for all issued shares of CSM not already owned or agreed to be acquired by CMD and Start Great Holdings Limited. According to the announcement dated 20 February 2026, the offer will be made by CLSA Limited on behalf of CMD if completion under the Share Purchase Agreements (SPA Completion) takes place.

The announcement referenced the previous disclosures from 30 October 2025 and subsequent updates from 20 November 2025, 19 December 2025, 19 January 2026, and 16 January 2026. CMD has confirmed that requisite approval from its independent shareholders was obtained on 16 January 2026. Aside from the conditions outlined in paragraphs (d) and (e) under the “Conditions of the Share Purchase Agreements” disclosed on 30 October 2025, no further conditions have been satisfied or waived.

The announcement reiterates that the offer remains contingent upon final SPA Completion. Accordingly, shareholders and potential investors of CMD and CSM are advised to exercise caution when dealing in the shares of these companies, as the offer may or may not proceed depending on the fulfillment or waiver of the relevant conditions.