Zhejiang Lituo Construction Machinery Leasing Co., Ltd. agreed to acquire 20% stake in Zhejiang Huatie Financing Lease Co., Ltd. from Zhejiang Huatie Emergency Equipment Science & Technology Co.,Ltd. (SHSE:603300) for approximately CNY 650 million on July 11, 2024. A cash consideration of CNY 654.02 million will be paid by Zhejiang Lituo Construction Machinery Leasing Co., Ltd. As part of consideration, CNY 654.02 million is paid towards common equity of Zhejiang Huatie Financing Lease Co., Ltd.

For the period ending December 31, 2023, Zhejiang Huatie Financing Lease Co., Ltd. reported EBIT of CNY 94.35 million and net income of CNY 8.26 million. As of December 31, 2023, Zhejiang Huatie Financing Lease Co., Ltd. reported total assets of CNY 3.34 billion and total common equity of CNY 3.27 billion.

The transaction is subject to approval of merger agreement by Zhejiang Huatie Emergency Equipment Science & Technology's board. The deal has been approved by the board.