Dingyi Group Investment Limited (Stock Code: 508) has disclosed that its indirect, non-wholly owned subsidiary agreed to acquire a 70% equity interest in Wealthy Faith Group Limited (“Target”). The Target holds a 99.996% interest in Cabral Mining Minerals Ltd. (“License Holder”), which possesses an exclusive mining license in Lusaka, Zambia. The consideration arrangement includes an initial cash payment of US$3,420,000, subject to upward or downward adjustments linked to the quantity of gold deposits and the results of planned exploratory works.

According to the disclosure, the License Holder’s 25-year mining license covers an area of approximately 87.115568 square kilometers. Under the proposed four-phase business plan, the acquirer intends to extract alluvial gold first, conduct exploratory works for reef gold deposits, then proceed with infrastructure development and further extraction activities. The Purchaser will be 72.9% owned by a subsidiary of Dingyi Group Investment Limited and 27.1% owned by the Manager, reflecting a collaborative structure for the mine’s administration and operations.

Profit sharing for the initial 400 kilograms of alluvial gold mined will be distributed 70% to the Purchaser and 30% to the Vendors. Any additional quantity above 400 kilograms will be split evenly. The transaction is classified as a disclosable transaction under Chapter 14 of the Listing Rules, as the applicable percentage ratios exceed 5% but remain below 25%. Upon completion, the Target will become an indirect, non-wholly owned subsidiary of Dingyi Group Investment Limited, and its financial results will be consolidated accordingly.

Management states that entering the gold mining sector aligns with the Group’s broader strategy of seeking ventures beyond its existing businesses in securities trading, loan financing, and property development.