CAOCAO INC (02643) announced that on December 30, 2025 (after trading hours), Hangzhou UCAR, a consolidated affiliated entity of the company, entered into (i) a Jidi Equity Acquisition Agreement with Zhejiang Jidi, and (ii) a Mercedes-Benz Mobility Equity Acquisition Agreement with Mercedes-Benz Mobility and Geely Holding. Pursuant to these agreements, Hangzhou UCAR agreed to acquire 50% of the equity in Weixing Technology from Zhejiang Jidi and Mercedes-Benz Mobility respectively, for a total cash consideration of RMB 225 million. Upon completion of the acquisition, Weixing Technology will become a wholly-owned subsidiary of Hangzhou UCAR. The announcement stated that Weixing Technology operates under the "ZAO" brand, providing premium mobility experiences, including business concierge car services, long-term dedicated chauffeur services, branded event transportation, airport transfers, and intercity travel equipped with professional butler services. The acquisition strengthens the Group's core mobility platform by integrating ride-hailing services with high-end concierge offerings. By incorporating business concierge and luxury vehicles into its service system, the Group will be able to expand its premium mobility product line, diversify the vehicle options on its platform, and attract a broader mid-to-high-end customer base, thereby increasing the platform's overall average order value and customer lifetime value. Corporate services represent a significant component of the Group's business, characterized by stable demand, high average prices, and high gross profit margins per order. Weixing Technology's extensive corporate client resources present cross-selling opportunities, aiding the Group in rapidly expanding its corporate client base, consolidating its corporate business segment, enhancing operational efficiency, improving data integration, and boosting long-term profitability. Simultaneously, the synergies between the corporate and individual customer segments can drive two-way traffic and value conversion, thereby increasing customer loyalty. Furthermore, Weixing Technology possesses a well-established luxury vehicle operation system, high-end customer resources, and a mature concierge and vehicle management framework in Hong Kong, providing a solid platform for the Group's international strategy and supporting its global expansion plans.
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