Yeebo Announces Sale Of 20.02% Stake In Nantong Jianghai For RMB 3.2 Billion

HONG KONG SAR – Yeebo (International Holdings) Limited ("Yeebo" or the "Company", stock code: 259), along with its subsidiaries collectively known as the "Group", has recently announced a significant financial move. The Group has signed a Share Purchase Agreement with Zhejiang Construction Investment Group Company Limited ("Zhejiang Construction Investment"), a prominent state-owned enterprise. This agreement, facilitated through Billion Power Investment Limited, a direct wholly-owned subsidiary of Yeebo, involves the sale of a 20.02% stake in Nantong Jianghai Capacitor Co., Ltd. ("Nantong Jianghai") to Zhejiang Construction Investment.

The transaction is valued at RMB3,232,470,000, with the price per share set at RMB19. Zhejiang Construction Investment will fulfill the payment in cash. Following this transaction's completion, Yeebo's ownership in Nantong Jianghai will reduce to 74,891,000 shares, equating to an 8.81% stake. Consequently, Nantong Jianghai will no longer be considered an associate of the Group. Despite this significant sale, Yeebo has expressed no current plans to sell any additional shares of Nantong Jianghai.

As of the last closing price, Yeebo's remaining stake in Nantong Jianghai is valued at approximately RMB1,388 million. The net proceeds from this disposal are earmarked for investment into Yeebo's existing operations to enhance operational capabilities and for general working capital purposes. Furthermore, the Company is open to exploring strategic business acquisitions if suitable opportunities present themselves and may consider rewarding shareholders through dividend declarations.

A special general meeting is scheduled to seek shareholder approval for both the Share Purchase Agreement and the disposal process. Mr. Fang Yan Tak, Douglas, Chairman of Yeebo, emphasized the company's commitment to deepening its core business while actively seeking investment or acquisition opportunities in market-leading companies with significant technological advantages. He also highlighted that the partnership with Zhejiang Construction Investment is expected to bolster Nantong Jianghai's growth and development prospects.

Yeebo's involvement with Nantong Jianghai began in 2005, leading to substantial business growth and its independent listing in 2010. The introduction of Zhejiang Construction Investment as a strategic investor is seen as a move that will not only realize gains from equity investments but also strategically position Yeebo for further development and focus on advanced technology-based manufacturing industries.