According to Shangshi Development's announcement, the Shanghai State-owned Assets Administration Commission adjusted its shares in Shangshi Group to Jinzhong Holdings, a new subsidiary of Shanghai Shangshi, so that Shanghai Shangshi indirectly owns the rights of Shangshi Development and becomes the indirect controlling shareholder of Shangshi Development. According to Article 63 of the “Administrative Measures on Takeovers of Listed Companies”, this acquisition complies with the circumstances of exemption from issuing an offer.

According to Shangshi Development's announcement, the Shanghai State-owned Assets Administration Commission adjusted its shares in Shangshi Group to Jinzhong Holdings, a new subsidiary of Shanghai Shangshi, so that Shanghai Shangshi indirectly owns the rights of Shangshi Development and becomes the indirect controlling shareholder of Shangshi Development. According to Article 63 of the “Administrative Measures on Takeovers of Listed Companies”, this acquisition complies with the circumstances of exemption from issuing an offer.