LITIAN PICTURES (09958) has signed a memorandum of understanding with Shanxi Ningle to establish a joint venture company.

LITIAN PICTURES (09958) announced that on November 13, 2024, the company entered into a Memorandum of Understanding (MOU) with Shanxi Ningle Pharmaceutical Logistics Co., Ltd. (Shanxi Ningle). According to the MOU, Shanxi Ningle plans to establish a joint venture with the company and/or its subsidiaries, and provide land resources and buildings to the joint venture for use as warehouses, support and film and television bases to produce TV dramas and short films. Shanxi Ningle also plans to actively discuss other industrial cooperation with the group. The detailed terms of cooperation will be agreed upon when the formal agreement is reached. According to the directors' reasonable inquiries, Shanxi Ningle was established in 2019, with its registered address and warehouse located in Zhaoqu Village, Xincheng Town, Xiangfen County, Linfen City, Shanxi Province, covering an area of 72,000 square meters. It is a professional pharmaceutical logistics management company. The directors believe that Shanxi is a popular filming location for many movies and TV shows, with rich cultural heritage and beautiful natural scenery. Shanxi has multiple film and television bases, with many famous TV dramas filmed in the past in Shanxi. The directors believe that the MOU will enable the group to acquire land resources through Shanxi Ningle, facilitating future film and television production in Shanxi and/or nearby areas. The directors believe that the proposed cooperation under the MOU is in line with the group's normal and general business processes on standard commercial terms, and that the terms of the MOU are fair and reasonable, and in the overall interests of the company and its shareholders.