On August 23, 2021, Volvo Lastvagnar Aktiebolag (“Volvo Truck”) and JMC Motor Co., Ltd. (stock code: 000550, “JMC”) held an online signing ceremony for the acquisition of 100% equity of JMC Heavy Duty Vehicle Co., Ltd. (“JMC Heavy Duty Vehicle”), a wholly-owned subsidiary of JMC. The plant of JMC Heavy Duty Vehicle covers a total area of 523,000 square meters and locates in the Demonstration Zone of Comprehensive Transformation and Reform in Shanxi Province. At present, the plant includes a full range of processes such as stamping, welding, cab manufacturing, painting and final assembly. After the acquisition, Volvo Truck will establish a wholly-owned Volvo truck production base in China and produce Volvo FM, FH and FMX series heavy trucks for Chinese customers in Taiyuan, Shanxi Province from the end of 2022.

Mr. Wang Yixin, vice governor of Shanxi Province, expressed warm congratulations on the signing of the project. The transaction between Volvo Truck and JMC has yet to be approved by relevant regulatory authorities, and both parties will start the corresponding approval process.

A team of lawyers including Senior Partner Carl Li, Senior Partner Jonson Zhang, Senior Associate Sheldon Wu and Associate Nick Wang from AllBright Shanghai Office represented JMC in the entire process of this acquisition project.