West China Cement Limited (02233) announced that it is in early-stage discussions with a potential buyer—an associate of substantial shareholder Conch International Holdings (HK) Limited—regarding the disposal of certain assets located in China.

The company stated that the contemplated transaction aims to optimise its investment structure, lower the debt ratio, reduce interest expenses, enhance resource allocation, and intensify overseas market expansion, thereby improving long-term operational efficiency and competitiveness.

No legally binding or definitive agreements have been signed, and core terms—including valuation, scope of assets, and timetable—remain under negotiation and subject to due diligence.

Should the transaction materialise, it would constitute both a notifiable transaction under Chapter 14 and a connected transaction under Chapter 14A of the Hong Kong Listing Rules, given the relationship between the potential buyer and Conch International Holdings (HK) Limited.

The board emphasised that completion is contingent on successful commercial negotiations, satisfactory due diligence, execution of definitive documents, and broader market conditions. Shareholders and investors are advised to exercise caution when trading the company’s shares until further announcements are made.