Shanxi State-owned Assets Operation Co., Ltd. signed an agreement with China Baowu Steel Group Corporation Limited (hereinafter referred to as “China Baowu”) on August 21, 2020. According to the agreement, Shanxi State-owned Assets Operation Co., Ltd. would transfer 51% of its shares to China Baowu, which has gone through the registration procedures for industrial and commercial change of shareholders on December 23, 2020. Since then, China Baowu held 51% shares of TISCO group, became its controlling shareholder and indirectly controlled 63.31% shares of the company via TISCO group. TISCO stainless said that the change of the company's actual controller would not affect the company's production and operation strategy, performance model, financial status and debt-paying ability.