TE HEALTHCARE (06877) has announced that on February 26, 2026, the company, as the buyer, entered into an acquisition agreement with the seller, Top Eminent I Limited. The seller has conditionally agreed to sell, and the company has conditionally agreed to acquire, the sale shares, representing 100% of the issued shares of the target company Top Eminent II Limited, for a consideration of HKD 100.3 million. The target group is primarily engaged in the cross-border e-commerce wholesale distribution and sale of health and wellness products and operates an internet healthcare service platform in China. In addition to dietary supplements and other health products that overlap with the existing categories of the group, the target group also distributes health foods and fruit wine products not currently offered by the group, thereby expanding the product range available to the group's customers. The target group has accumulated operational experience, systems, and a professional team in areas including cross-border logistics and order fulfillment, online traffic generation, user acquisition and conversion, and internet hospital services, which encompass online hospitals, remote consultations, and health management functions. The board of directors believes that the acquisition, which integrates a cross-border healthcare e-commerce platform with licensed internet hospital operations, will enable the enlarged group to leverage existing online consultation, product recommendation, and cross-border order execution infrastructure. It will also integrate upstream product development and distribution capabilities with downstream medical consultation services, providing an immediate foundation for developing integrated healthcare solutions. In May 2022, the group entered into an e-commerce cooperation agreement with a Hong Kong company, a member of the target group, concerning the online promotion and sale of specific health and wellness products on designated e-commerce platforms, with the term lasting until May 2026, subject to potential renewal by mutual agreement. Through this collaboration, the group and the target group have gained working experience in areas such as product positioning, brand promotion, and operational coordination, establishing a degree of mutual understanding and trust. Notably, the target group has been using its own self-operated online "private domain" promotion and sales channels to promote designated products and direct users to the group's flagship stores on major e-commerce platforms. The group considers that this cooperation has positively impacted sales performance and user engagement on these platforms. The board believes that this existing cooperation framework provides a beneficial business and operational basis for the acquisition and supports the commercial rationale for selecting the target group as the group's strategic partner in the digital healthcare sector.