SH IND URBAN (00563) announced that SHIC Shanghai Health Management (a wholly-owned subsidiary) entered into a share transfer agreement with Shanghai Huashi and Shanghai Lingfeng Medical on November 13, 2025. Under the agreement, Shanghai Huashi and SHIC Shanghai Health Management conditionally agreed to sell, and Shanghai Lingfeng Medical conditionally agreed to purchase, a combined 49% stake in the target company, Shanghai SHIC Medical Beauty Hospital Co., Ltd., for a total consideration of RMB73.598 million.

As of the announcement date, the target company was owned 51% by Shanghai Lingfeng Medical, 30% by Shanghai Huashi, and 19% by SHIC Shanghai Health Management. The group’s 19% indirect stake in the target company was classified as an investment in an associate in the consolidated financial statements. Upon completion, the company will no longer hold any stake in the target company, which will become wholly owned by Shanghai Lingfeng Medical. The target company will cease to be an associate of the company.

The disposal allows the group to recover and reallocate capital, streamline its investment portfolio, and focus resources on core operations, thereby enhancing operational efficiency and capital discipline. The transaction aligns with the group’s strategy to optimize asset allocation, improve cash flow, and concentrate on core business development, supporting long-term sustainable growth.