Gelonghui, Feb. 27丨Jinhui Technology (08295.HK) announced that on February 27, 2024, Jinhui Rongzhi Technology Co., Ltd., a wholly-owned subsidiary of the company, entered into an agreement with the buyer Hainan Zhicheng Investment Partnership (limited partnership). According to this, the seller agreed to sell and the buyer agreed to acquire sales rights, that is, 51% of the shares of the target company Chengdu Rongzhi Interactive Technology Co., Ltd., at a cost of RMB 30.6 million.
The target company is a limited company established in China and wholly owned directly by the seller. As of the date of this announcement, the target company held all of the shares in Changsha Rongzhi Interactive Technology Co., Ltd. and 70% of the shares in Chengdu Rongzhi Yunzhou Brand Management Co., Ltd. The target group is engaged in comprehensive marketing and agency services.
After completion, the Group's shares in the target company will be reduced from 100% to 49%. The target group will then no longer be an indirect wholly-owned subsidiary of the company, but will become an associated company of the company. As a result, the financial results of the target group will no longer be consolidated with the group's financial statements, and the group will share the financial results of the associated companies.