Dachan Food Renews Connected Supply Deal With Controlling Shareholder GWE

The latest update is out from Dachan Food (Asia) Limited ( (HK:3999) ).

Dachan Food (Asia) Limited has renewed its continuing connected transactions framework with its controlling shareholder, GWE, entering into a new three-year supply agreement effective from 1 January 2027 to 31 December 2029. Under the renewal, GWE and its group will continue to supply coated flour and feed ingredients to Dachan Food and its subsidiaries on substantially the same terms as the existing arrangement, helping secure stable access to key raw materials.

Because GWE holds about 61.61% of Dachan Food’s issued share capital, the renewed supply transactions are classified as continuing connected transactions under Hong Kong listing rules. The proposed annual caps for these transactions trigger reporting, announcement and annual review requirements but remain exempt from circular and independent shareholders’ approval, indicating a moderate scale while maintaining regulatory transparency for minority investors.

The most recent analyst rating on (HK:3999) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Dachan Food (Asia) Limited stock, see the HK:3999 Stock Forecast page.

More about Dachan Food (Asia) Limited

Dachan Food (Asia) Limited is a Hong Kong-listed company in the food sector that purchases key raw materials, including coated flour and feed ingredients such as fermented soybeans and microbial feed additives, to support its production activities. The group relies in part on its ultimate controlling shareholder, GWE and its affiliates, as an important supplier within its integrated supply chain.

Average Trading Volume: 32,113

Technical Sentiment Signal: Sell

Current Market Cap: HK$579.2M

For detailed information about 3999 stock, go to TipRanks’ Stock Analysis page.