ZIJING INTL FIN (08340) plans to sell all shares of Zijing Consulting Co., Ltd.

ZIJING INTL FIN (08340) announced that on August 31, 2026, the seller Tongyi Global Limited (a wholly-owned subsidiary of the company) and the buyer Liu Junting (an independent third party) entered into an agreement for the sale, under which the seller agrees to sell and the buyer agrees to purchase the shares to be sold at a price of HKD 1.00. The shares to be sold represent all issued shares of the target company Zijing Consulting Limited, which, as of the agreement date and prior to completion, is an indirect wholly-owned subsidiary of the company. Upon completion of the transfer of the shares to be sold, the target company will no longer be a subsidiary of the company. Since the outbreak of hostilities between the United States and Iran in February 2026, international oil prices have experienced significant volatility, with Brent crude reaching approximately USD 120 per barrel. Rising fuel costs have negatively impacted customer demand for leasing fuel-powered vehicles. The management recognizes that new energy vehicles represent the future development trend of the industry, thus it made a strategic decision during the period ending June 30, 2026, to sell all of the group's fuel-powered vehicles. Consequently, the group no longer maintains any fleet. The management further believes that the sale of these vehicles and the termination of the car leasing business will benefit the group by saving on maintenance costs for the aging fuel-powered fleet and reducing administrative expenses through streamlining the group structure, especially for maintaining an entity that is in a loss-making position with net liabilities. The directors believe that the sale represents a good opportunity for the company to realize the value of the target company at a reasonable price, and the proceeds from the sale will improve the group's financial condition and increase its general working capital.