Hainan Haiqi Transportation Group (603069.SH) plans to establish a joint venture company to carry out high-end car rental services and other businesses for customers.

Hainan Haiqi Transportation Group (603069.SH) announced that, in order to further improve the company's shortcomings in the C-end market travel services, enrich tourist travel service products, consolidate the company's leading position in Hainan passenger transportation, further enhance the brand image, and expand new revenue growth points, the company plans to establish a joint venture company with its wholly-owned subsidiary Haiqi Rent a Car, Shanghai Zengrong, and Hainan Rongda. The joint venture will focus on conducting business in the Hainan region including but not limited to high-end car rental services for the C-end, charter and airport pickup services, conference and exhibition vehicle services, as well as second-hand car sales and import and export. The registered capital of the joint venture company is 50 million yuan, with Haiqi Rent a Car subscribing for 22.5 million yuan and holding 45% equity, Shanghai Zengrong subscribing for 17.5 million yuan and holding 35% equity, and Hainan Rongda subscribing for 10 million yuan and holding 20% equity. The establishment of the joint venture company with other partners is in line with the company's future development needs. It will fully leverage the advantages of all parties involved, facilitate the establishment of stable cooperation relationships, serve as important strategic partners, help the company explore new markets and upgrade transformation, further enhance comprehensive competitiveness, and meet the strategic development needs of the company, laying a good foundation for the company's future development.