MAANSHAN IRON announced that on May 27, 2026, its tenth board of directors approved a proposal for its subsidiary Ma Steel Limited to contribute its equity stake in Baowu Water as capital to increase investment in Baowu Environmental Technology. The board agreed that Ma Steel Limited, along with 15 other shareholders of Baowu Water, will enter into a capital increase agreement with several entities including Baosteel Development. According to the agreement, these 16 shareholders will contribute their collective 96.48% equity stake in Baowu Water, valued at approximately RMB 3.491 billion, to increase the capital of Baowu Environmental Technology. Of this amount, approximately RMB 333 million will be registered as capital of Baowu Environmental Technology, with the remaining RMB 3.158 billion recorded as capital reserve. Upon completion, these shareholders will become shareholders of Baowu Environmental Technology and will no longer hold shares in Baowu Water. Ma Steel Limited's stake in Baowu Environmental Technology will be approximately 1.04%. Ma Steel Limited will increase its investment in Baowu Environmental Technology by approximately RMB 114 million using its 3.151% stake in Baowu Water as consideration. The announcement stated that this capital increase by Ma Steel Limited is conducive to building an integrated environmental management platform covering solid waste, water, and air, thereby obtaining more comprehensive and efficient environmental service support for the company's green and low-carbon transformation. Furthermore, by becoming a shareholder of Baowu Environmental Technology, Ma Steel Limited will, through this capital link, share in the benefits of the environmental protection industry's development. It will also leverage the integrated "solid-water-air" industrial layout to enjoy synergistic benefits arising from economies of scale.