HC GROUP (ASX: 02280) has announced that its indirect non-wholly owned subsidiary, Beijing Zhaoxin, has resolved to submit a proposal to its shareholders' meeting to apply for the termination of its share listing on the National Equities Exchange and Quotations (NEEQ).

The proposal is subject to approval by Beijing Zhaoxin's shareholders and the fulfillment of the company's obligations under relevant listing rules, among other conditions, before it can be implemented.

As part of the proposal, Beijing Zhaoxin intends to implement protective measures to safeguard potential dissenting shareholders and certain other holders of its shares. This will be achieved through a share repurchase scheme targeting dissenting shareholders, referred to as Zhaoxin dissenting shareholders.

Shareholders eligible for the repurchase must meet the conditions stipulated by the applicable rules of the NEEQ and any other conditions established by Beijing Zhaoxin for the repurchase.

The repurchase price will be determined and confirmed based on the cost price paid by the dissenting shareholders for the relevant shares, excluding transaction fees and capital costs, with adjustments for events such as ex-rights or ex-dividends, or based on the net asset value per share of Beijing Zhaoxin, whichever is applicable.

The specific identities of the dissenting shareholders, the final repurchase price, and the method of repurchase are to be negotiated and determined with the dissenting shareholders after the proposal receives approval from Beijing Zhaoxin's shareholders.