ELIFE HLDGS (00223) intends to sell all the equity of Guangdong Shangpinhui Supply Chain Management Co., Ltd. for 820,000 yuan.

ELIFE HLDGS (00223) announced that on March 17, 2026, the seller Zhongnongxin Supply Chain Management (Beijing) Co., Ltd. (an indirect wholly-owned subsidiary of the Company) entered into an equity transfer agreement with the buyer Meizhou Yichanglong Logistics Co., Ltd. The buyer agreed to acquire all the equity of the target company at a total price of RMB 820,000. After completion, the target company Guangdong Shangpinhui Supply Chain Management Co., Ltd. will no longer be a subsidiary of the Company, and the financial information of the target company will no longer be consolidated into the Group's financial statements. In order to achieve its strategic goals, the Group has been actively reallocating resources from traditional supply chain businesses to focus on core growth areas, including brand supply chain businesses deeply integrated with commercial travel applications and artificial intelligence products. This strategic transformation is especially reflected in the Group's recent business initiatives and partnerships related to digital technology and artificial intelligence. The target company is mainly engaged in traditional supply chain businesses involving fruits, Shenzhen Agricultural Power Group, and beverage raw materials. In recent years, these sectors have faced increasingly fierce market competition and shrinking profit margins, making it difficult for the target company to achieve sustainable growth or make substantial contributions to the Group. As of September 30, 2025, the target company was in a net debt position with a liability amounting to approximately HK$2.7 million. Considering the above, the Board believes that the target company's operations and industry positioning have increasingly deviated from the Group's latest strategy and future business direction. The sale provides the Group with a timely and strategically significant opportunity to divest non-core and underperforming businesses, and to reallocate capital and management resources to core businesses with higher growth potential, further streamlining operations. The estimated net proceeds after deducting related expenses will be used as general working capital for the Group. Upon completion of the sale, it is expected to improve the Group's liquidity and financial condition, allowing the Group to focus more on core business areas.