Oriental Yuhong Plans to Acquire 100% Equity of World Hardware to Expand Overseas Market Layout

Securities Times Reporter Zhao Liyun

On the evening of March 17, Oriental Yuhong (002271) announced that to actively promote the company’s internationalization strategy and continuously expand overseas markets, its wholly-owned subsidiary Hong Kong Oriental Yuhong Investment Limited (hereinafter referred to as “Hong Kong Oriental Yuhong”) signed a share purchase agreement with ALIAXIS GROUP SA, HO ON WAH, HO CHEONG WAH, and HOHUNG KING on March 16, 2026, Beijing time.

According to the agreement, Hong Kong Oriental Yuhong plans to invest approximately HKD 164 million (about RMB 145 million) using its own funds to acquire 100% equity of The Universal Hardware & Plastic Factory Limited (hereinafter referred to as “Universal Hardware”). After the transaction is completed, Hong Kong Oriental Yuhong will hold 100% of Universal Hardware.

The announcement shows that Universal Hardware was established on February 24, 1961. Its main business is the production and sale of pipes and fittings made of CPVC, UPVC, and other materials. As of the disclosure date, Universal Hardware owns 100% of Zhongshan Huanyu Industrial Co., Ltd., whose main business includes manufacturing plastic products, selling plastic products, sanitary ware sales, retail and wholesale of hardware products.

Oriental Yuhong stated that Hong Kong is located at the key trade route of the Far East and the core of the Asia-Pacific region, serving as an important center for international trade, shipping, and finance. The Hong Kong building materials market is also one of the important bridges connecting mainland China with the international building materials market. Universal Hardware has always focused on the production and sales of plastic pipes and fittings. Its “Anchor” brand enjoys widespread recognition and a good reputation in Hong Kong and Guangdong, and has become a representative brand in the local plastic pipe industry, with outstanding brand influence and premium pricing power.

In recent years, the company has actively promoted an overseas development priority strategy. Going abroad has become one of the company’s most important strategic initiatives, and overseas business will be a key driver for sustainable growth in the future.

This transaction aims to leverage the company’s core positioning as a building materials system service provider to enhance its product international sales capability, influence, and brand recognition. The deal will fully utilize Universal Hardware’s brand strength, channels, and sales advantages in the Hong Kong market to help the company establish and expand its presence in Hong Kong and Southeast Asia’s pipe market, improve overseas business layout, promote overseas business development, and lay a foundation for the company’s ongoing internationalization process.