Summary by Moomoo AI
HOPE EDUCATION GROUP CO., LTD. (HOPE EDUCATION) ANNOUNCED ON 31 JANUARY 2024 THAT IT HAS SIGNED A TRANSFER AGREEMENT WITH THE BUYER JIANGXI WEN PERFORMING INVESTMENT MANAGEMENT CO., LTD., TO SELL 100% SHARES IN ITS WHOLLY OWNED SUBSIDIARIES JIANG XICHANG ZHEN INDUSTRIAL CO., LTD. AND NANCHANG UNIVERSITY GONGQING COLLEGE LOGISTICS SERVICES CO., LTD. (TARGET COMPANY). The total cost of the transaction is RMB 5 billion and will be paid in installments. The sale will exclude the target company and the target school from the consolidated financial statements of Hope Education Group, which is expected to record an unaudited loss of approximately RMB9 million. Hope Education said that the proceeds from the sale will be used to improve the conditions of the existing school. Upon completion of the sale, the buyer will hold 100% equity in the target company and the owner's interest in the target school. The sale is a disclosable transaction in accordance with Chapter 14 of the Listing Rules, as an applicable percentage rate of more than 5% but less than 25% is involved.