Conch Mat Tech has signed a supplemental agreement with major customer Anhui Conch Cement to lift the 2026 annual cap on cement-admixture sales from RMB700.00 million to RMB780.00 million and to introduce a monthly price-adjustment mechanism linked to key raw-material costs.

The original supply agreement, sealed on 27 November 2025, covers Conch Mat Tech’s provision of cement grinding aids (Type 1 and Type 2) to Conch Cement for the period 1 January–31 December 2026. Management accounts show that sales reached about RMB167 million in the four months to 30 April 2026.

Supplemental terms agreed on 7 May 2026 modify pricing: each month, unit prices will be adjusted when the cost difference of two key raw materials—benchmarked to SCI Price Center data—exceeds ±5 % of the original tender prices. This change is designed to offset sharp increases in raw-material prices attributed to recent geopolitical tensions.

Conch Mat Tech’s Independent Board Committee and independent adviser Gram Capital have both concluded that the revised terms are fair, reasonable and in the company’s ordinary course of business. Because Conch Cement is an associate of the company’s controlling shareholder, the transaction remains a continuing connected transaction under Chapter 14A of the Hong Kong Listing Rules and requires independent shareholders’ approval.

An extraordinary general meeting will be held on 7 July 2026 in Wuhu, Anhui, to vote on the supplemental agreement and the higher annual cap. Conch Tech Innovation and its associates, which collectively hold 36.47 % of Conch Mat Tech’s shares, will abstain from voting.

Management cites a long-standing relationship with Conch Cement—its largest customer since 2018—and the need to preserve stable revenue while reflecting the surge in raw-material costs as key reasons for the adjustment.