Baiying Holdings Group Limited disclosed that its indirect wholly-owned subsidiary, Xiamen Baiying Leasing Co., Ltd., signed a finance lease agreement after market close on 29 April 2026 with Quanzhou Hechang Weaving Co., Ltd.

The transaction adopts a sale-leaseback structure: • Consideration – The purchaser will acquire designated textile machinery and related equipment (18 categories, including drawing frames, spinning frames and automatic winding machines) for RMB15.15 million (HK$17.42 million). • Lease term – 36 months from 30 April 2026 to 30 April 2029. • Lease payments – Quanzhou Hechang will remit 36 monthly instalments totalling RMB20.20 million (HK$23.23 million), comprising 35 equal payments of RMB0.20 million and a final instalment of RMB13.20 million. • Financing terms – The arrangement implies an effective annual interest rate of 11.81%. A security deposit of RMB0.15 million (HK$0.17 million) is required. • Early buyback – The lessee may repurchase the assets after six months, subject to full settlement of outstanding amounts plus a 1% compensation fee and a RMB100 retention consideration.

Baiying estimates aggregate income of approximately RMB5.05 million (HK$5.80 million) over the lease period. The consideration will be funded by internal resources, and ownership of the assets transfers to the purchaser upon execution of the agreement.

Under Chapter 19 of the GEM Listing Rules, the deal qualifies as a discloseable transaction, with the highest applicable percentage ratio exceeding 5% but below 25%, triggering announcement and notification obligations.

Trading in Baiying Holdings shares has been suspended since 9 June 2025 pending compliance with GEM Rule 17.26 and related resumption guidance. The suspension will continue until the Stock Exchange grants approval for trading to resume.