ZHONGMIAO Holdings (01471) announced that on August 22, 2025, the company intends to acquire a combined 55% equity stake in Beijing Kechuang Rongxin Technology Co., Ltd. from Li Yanbai and Chai Hong for a cash consideration of RMB 165 million, which may be adjusted according to the agreement terms.

The target company is a professional service provider specializing in financial asset digitalization. Focusing on the digitalization of banking cash assets, the target company leverages its expertise in providing financial institutions with hardware and software related to the second-generation currency issuance logistics management system, RMB cash centralized digital classification outsourcing services, and RMB serial number circulation management system. These products and services support financial institutions in management upgrades, data security, and information technology application innovation upgrades.

The directors believe that the acquisition will enable the company to consolidate its position in the financial asset digitalization sector, enrich its product portfolio, and accelerate the digital upgrade of its insurance agency services. This will strengthen the group's research and development capabilities and further enhance its overall competitiveness.

Following the acquisition, the target company will become a non-wholly owned subsidiary of the company, which will facilitate the capitalization of results, enhance the target company's market image, and create new business growth opportunities for the target company.