Lushang Service (02376) issued an announcement. On February 27, 2024 (after the Stock Exchange trading session), the company (...
According to Zhitong Finance App, Lu Shang Service (02376) issued an announcement. On February 27, 2024 (after the trading period on the Stock Exchange), the company (as the buyer) and Shandong Lu Jian (as the target company) entered into a share transfer agreement with Lushang Freda (as the target company) to trade 100% of Shandong Lu Jian's total shares. The cost under the share transfer agreement is RMB 4.8783 million.
As of the date of this announcement, Shandong Lu Jian's main assets include cash and other accounts receivable. Shandong Lu Jian is mainly engaged in providing enterprise headquarters management, remote health management services, health consulting services, sports and health services, hygiene products, disposable medical supplies and medical equipment sales, and online sales.
The company plans to develop property management services related to elevator system maintenance. However, setting up a company involves a series of procedures stipulated by the relevant asset supervision and administration authorities. These procedures are expected to take a long time to complete, which not only hampers the company's business development, but also causes heavy compliance costs, which may affect the company's accounting period. In contrast, the procedures associated with acquiring an existing company and changing the scope of its business according to the company's business requirements are expected to take less time to complete and less costly. Therefore, the acquisition can boost the company's business development.