Hope Education (01765) issued an announcement. On January 31, 2024, the buyer (Jiangxi Wenyan Investment Management Co., Ltd....
Zhitong Finance App News, Hope Education (01765) issued an announcement. On January 31, 2024, the buyer (Jiangxi Wenjian Investment Management Co., Ltd.) signed a transfer agreement with the seller (Chengdu May Sunshine Education Management Co., Ltd.). The seller has agreed to sell 100% of the target company's shares and the current and potential shareholders' rights included in the shares, and Jiangxi Changzhen Industrial Co., Ltd.'s current and potential organizers of the target school at a total cost of RMB 500 million.
According to reports, the target companies are two limited liability companies established in China, namely Jiangxi Changzhen Industrial Co., Ltd. and Nanchang University Gongqing College Logistics Service Co., Ltd., which are mainly engaged in logistics management services, property management services, and infrastructure investment, development, and operation of the hospital.
The target school is the Gongqing College of Nanchang University. It began operation in 1985. It was confirmed as an independent college jointly organized by Nanchang University and Changzhen Company after evaluation by the Ministry of Education in 2003. The group reached an acquisition agreement with the original organizer of the target school in February 2021. The target school is an independent college that mainly focuses on work and is developed in a coordinated manner across multiple disciplines such as management, and literature.
The announcement said that in recent years, the country has successively introduced a number of policies to guide the high-quality development of vocational education, and the group's colleges are facing greater pressure to invest in running schools. This sale will better help the group raise funds, enable the group to better allocate financial resources, and improve operating conditions to meet the needs of existing institutions such as basic operation, college renovation and expansion, and promotion of for-profit choices. The Group intends to use the net proceeds from the sale to improve the operating conditions of existing institutions and meet the basic requirements for running schools.