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Clear out junk files and repair common Windows errorsFree Scan →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →Kangda International Environmental and China Water Affairs have revised the annual caps for connected construction-services transactions covering 2026–2028. Contemporaneous coverage reports a revised cap of RMB70 million, but the available material does not establish how that figure is divided between the two companies. A cap is a permitted ceiling, not a forecast of revenue, confirmed contract value or proof that the full amount will be spent.
What the connected construction agreement covers
On 22 December 2025, Kangda Investment (Hong Kong), an indirectly wholly owned Kangda subsidiary, and Jiangxi Silver Dragon, a non-wholly-owned subsidiary of China Water Affairs Group Limited (CWA), entered into a renewed framework agreement. It covers construction works and services for wastewater-treatment facilities from 1 January 2026 through 31 December 2028. The relevant groups may enter into individual construction contracts under that framework. The 2025 announcement identifies the relationship between Jiangxi Silver Dragon and CWA, and CWA’s position as a substantial shareholder of Kangda, as the basis for treating the arrangements as continuing connected transactions.
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How the caps changed
The original framework set a separate annual cap of RMB45 million for each company in each of 2026, 2027 and 2028. The 30 September 2026 HKEX index records a later filing titled “Continuing Connected Transactions – Revision of Annual Caps.” Contemporaneous coverage by TipRanks reports that the caps were raised to RMB70 million for 2026–2028. The accessible primary filing text does not establish whether RMB70 million is the cap for each company or a combined figure, so it should not be presented as a verified company-by-company allocation.
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| Company | Original annual cap, each year 2026–2028 | Reported revised cap, 2026–2028 |
|---|---|---|
| Kangda International Environmental Company Limited | RMB45 million per year | RMB70 million reported for the revision; allocation not established by accessible primary text |
| China Water Affairs Group Limited | RMB45 million per year | RMB70 million reported for the revision; allocation not established by accessible primary text |
The original figures come from the companies’ 22 December 2025 announcement. The revised headline figure is reported by TipRanks; the HKEX index confirms that a revision filing was listed on 30 September 2026. Because the allocation is unverified, the evidence does not support calculating an increase percentage for either company.
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Does RMB70 million mean the companies will spend that much?
No. An annual cap limits the value of covered connected transactions that may be entered into under the arrangement; it does not show how much work was awarded, invoiced or paid for. The reported revision is not a revenue forecast or a guarantee that either company will receive construction contracts worth that amount. The available material does not establish actual utilization of the revised cap.
How the caps compare with disclosed transaction amounts
Kangda’s 22 December 2025 announcement also reported historical construction-services transaction amounts. These are not annual caps, and the first-half 2025 figure is not a full-year total.
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| Period | Reported construction-services transaction amount | Source and qualification |
|---|---|---|
| 2023 | Approximately RMB26.8 million | Kangda announcement dated 22 December 2025 |
| 2024 | Approximately RMB41.1 million | Kangda announcement dated 22 December 2025 |
| First half of 2025 | Nil | Kangda announcement dated 22 December 2025; six-month period only |
These historical amounts provide context for the original arrangement but do not establish how much of the revised ceiling will be used.
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The 22 December 2025 announcement said that the applicable percentage ratios for each company exceeded 0.1% but were below 5%. On that basis, it described the original transactions as subject to reporting, annual review and announcement requirements under Chapter 14A of the Hong Kong Listing Rules, but exempt from independent shareholders’ approval. That description concerns the original framework. The available material does not establish whether the September 2026 revision changed the procedural requirements, so the original approval treatment should not be assumed to apply unchanged to the revision.
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