TD Holdings announced that it has entered into a non-binding letter of intent to acquire the equity interest of Xinjiang Dede Xinyuan Environmental Protection Technology Co., Ltd., an environmental management company specialized in tailings treatment and control solutions, with access to 200M tons of asbestos tailings, primarily composed of silicon dioxide metallic magnesium elements. Through this proposed acquisition, the company aims to expand its operations to include the refining of silicon dioxide and metallic magnesium new materials and provide value-added services to its clients within the non-ferrous metals sector through XDX’s expertise in tailings treatment and control solutions. Pursuant to the terms of the LOI, the company intends to acquire more than 51% of the equity interest of XDX. The specific purchase price shall be determined upon completion of the due diligence and are subject to the final results of the financial audit and assets valuation, and shall be set out in the definitive agreement to be entered into by the relevant parties. The proposed acquisition will be made through a private placement of shares by TD Holdings to XDX with a lock-up period and shall be lifted in batches according to XDX’s performance commitment under the definitive agreement. Assuming the satisfactory completion of its due diligence and negotiation of the definitive agreement, the company expects to close the transaction by March 31, 2024. As the transaction proceeds, the company will publicly disclose required information either through press releases or SEC filings, as appropriate.
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