Zhejiang Wellsun Intelligent Technology Co.,Ltd. (SZSE:300882) signed the share transfer agreement to acquire Zhejiang Zhitong Fire Network Co., Ltd. from Shanghai Junhouji Enterprise Management Consulting Partnership (Limited Partnership) and Zhang Min for CNY 41.3 million on January 20, 2022. The consideration will be paid in cash, 30% within 3 working days after this agreement and remaining 70% within 3 working days from the date when the payment prerequisites are properly fulfilled. Prior to completion, Shanghai Junhouji Enterprise owns 99% stake in Zhejiang Zhitong Fire and Zhang Min owns 1% stake.

Upon completion, Zhejiang Zhitong Fire will be owned 100% by Zhejiang Wellsun and become its wholly-owned subsidiary. Zhejiang Wellsun will fund the transaction from its own funds. The total assets, net assets, operating profit and net loss of Zhejiang Zhitong Fire for the period ended December 31, 2021, were CNY 10.20 million, CNY 5.95 million, CNY 0.89 million and CNY 0.01 million, respectively.

The transaction is subject to the approval of Zhejiang Zhitong Fire's shareholders and does not need to be submitted to the board of directors and the general meeting of Zhejiang Wellsun Intelligent's shareholders for deliberation.