SHUANGHUA H (01241) has announced that on July 24, 2026 (after trading hours), its seller, Anhui Shuanghua Intelligent Technology Co., Ltd. (an indirectly 99.999% owned subsidiary), entered into a sale agreement with the buyer, Huangshan Jiulong Construction Investment Co., Ltd.

Under the agreement, the seller conditionally agreed to sell, and the buyer conditionally agreed to acquire, the target property for a total consideration of RMB 45.83 million, subject to the terms of the sale agreement.

The target property comprises an industrial real estate located at No. 1 Chengxiang Road, Jiulong Low Carbon Economic Park, Tunxi District, Huangshan City, Anhui Province, China. This includes: (1) the use rights to an industrial land plot covering a total area of 41,434.58 square meters; (2) buildings and ancillary facilities on the land, with a total gross floor area of 22,466.72 square meters, comprising a guard room (59.00 sqm), a testing workshop (8,761.29 sqm), and No. 1 workshop (13,646.43 sqm); and (3) various supporting structures and facilities within the industrial land.

The group is primarily engaged in supply chain management based on its own properties, as well as the food supply business for high-end fruits and other agricultural products, both domestically and internationally.

The target property was previously used by the group for automotive parts manufacturing in Huangshan City, Anhui Province. Due to shrinking demand in the traditional automotive parts industry, the group's main business has been restructured, and all related production activities at the property have ceased. Consequently, the target property no longer generates any income for the group.

After review, the board concluded that the target property represents a non-core asset and is not utilized in any of the group's existing business operations. The board further considered that the sale provides an opportunity to dispose of idle assets and realize their value, viewing it as a chance to optimize the group's asset portfolio.

The transaction will allow the group to concentrate resources and reinvest the proceeds into developing and expanding its supply chain management and food supply businesses, as well as capturing new development opportunities in innovative technology. The board believes these business segments have promising market prospects and align with the group's future strategic direction. The board considers that the sale will help focus management efforts and financial resources on its core business segments.