ZHENGYE INT'L (03363) announced that on September 12, 2025, the seller Zhongshan Yongfa Zhizao (an indirect wholly-owned subsidiary of the Company) entered into a sale and purchase agreement with the buyer Zhongshan Wanshunda Electrical Appliances. The seller has agreed to dispose of and the buyer has agreed to purchase the property for a consideration of RMB 16.8889 million.
The property is located at Factory Building No. 6 of the Zhongshan Songwan Hui Valley Intelligent Manufacturing Project in Xintang Community, Huangpu Town, Zhongshan City, China. The total area of the shared land use rights is 36,413 square meters, while the building area of the property is 3,964.65 square meters.
The land where the property is situated was originally used by the Group for paper raw material storage. To enhance the utilization rate of the land, the Group responded to the Zhongshan municipal government's call for "Three Old" reconstruction and applied for redevelopment of the land, which was approved in November 2022.
The first phase of the project commenced in October 2023, involving the construction of six industrial buildings with a total building area of approximately 26,693.03 square meters. As of the announcement date, the first phase of the project has been completed. The property to be disposed of in this transaction (Factory Building No. 6) is one of the completed buildings in the first phase of the project.
The Board considers the disposal as a good opportunity for the Group to realize the value of the property at a reasonable price, and the proceeds from the disposal can be used for the development and construction of the project or to supplement the Group's working capital.
