Weigang Environmental Technology Holding Group Limited (WG Environmental Tech) announced the execution of a termination agreement on 18 June 2026 to dissolve its planned joint venture (JV) with Changzhou Rongzhixiang Environmental Technology Co., Ltd. The JV had been initiated on 21 March 2025 through WG Environmental Tech’s indirect wholly owned subsidiary, Dehui Environment.

The decision reflects shifts in the business environment and corporate strategy. Under the termination agreement, all parties—WG Environmental Tech’s Dehui Environment and Changzhou Rongzhixiang—mutually release each other from contractual and legal obligations with no breach recorded during the JV’s term.

No capital or asset injections were made into the JV, and the entity never commenced operations. Consequently, WG Environmental Tech will neither receive cash proceeds nor incur cash outflows from the dissolution. The Board states that terminating the JV will not have any material adverse impact on the Group’s financial performance or operations and is deemed to be in the best interests of shareholders.

The dissolution and deregistration of the JV company require approval from the relevant PRC authorities and are expected to be completed by the third quarter of 2026.