Huaxin Cement acquired Holcim Zambia and Malawi Cement, and the 75% equity delivery conditions have been met.

Huaxin Cement Co., Ltd. issued the latest announcement on the progress of the acquisition of Holcim Zambia, Malawi Cement and related businesses. As of November 30, 2021, the 75% equity delivery conditions of Lafarge Zambia Plc have been met, and the parties to the transaction have completed the delivery work agreed in the share acquisition agreement.

It is reported that on June 10, 2021, the third meeting of the 10th Board of Directors of Huaxin Cement Co., Ltd. (Hereinafter referred to as "Huaxin Cement") deliberated and adopted the Bill on the Acquisition of Lahao Zambia, Malawi Cement and Related Business Transactions, and approved Huaxin Cement to take Huaxin (Hainan) Investment Co., Ltd. as the direct buyer. The total purchase price is estimated to be about 160 million US dollars. Acquisition of 24.9% and 50.1% (75% in total) of the Lafarge Zambia Plc of Financi Financière Lafarge SAS and its wholly-owned subsidiary Pan African Cement, respectively, Pan African Cement hold 100% of the shares of Lafarge Cement Malawi Ltd and may acquire up to 25% of the shares of Lafarge Zambia Plc held by the public.

As of November 30, 2021, 75% of the equity delivery conditions of the Lafarge Zambia Plc have been met, and the parties to the transaction have completed the delivery work stipulated in the share acquisition agreement. Huaxin Cement completed the payment of the estimated price on November 30, 2021, and the final transaction price will be adjusted and finally determined according to the consideration adjustment mechanism stipulated in the share acquisition agreement. The 100% equity delivery conditions of the Lafarge Cement Malawi Ltd are being implemented, and once the delivery conditions are met, Huaxin Cement will make a timely announcement. After the completion of this

equity acquisition, Huaxin Cement will increase its cement production capacity by 1.5 million tons per year and aggregate production capacity by 600,000 tons per year in Zambia. Lafarge Zambia Plc will also be included in the scope of consolidated statements of Huaxin Cement.