Zhejiang Merchants Zhongtuo: Acquired 46% equity of subsidiary for 1.041 billion yuan, achieving investor exit.

Zhejiang Shangzhou Zhongtuo announced that its wholly-owned subsidiaries Zhejiang Zhongtuo and Hunan Zhongtuo implemented market-oriented debt-to-equity swaps in December 2020, introducing investors. Now, after 5 years from the transaction date, it has been confirmed through communication that the investors will exit according to the agreement. Zhejiang Shangzhou Zhongtuo plans to pay 104 million yuan to acquire 46.04% and 46.07% equity of Zhejiang Zhongtuo and Hunan Zhongtuo held by the investors. After the repurchase, the company will hold 100% of the shares of both subsidiaries. This exit will be arranged according to the agreement, without the need for deliberation, and will not have a significant adverse impact on the company's operations.