Summary by Moomoo AI
Yuehai Investment Co., Ltd. ("the Company") announced the renewal of the financial service cooperation agreement with its wholly-owned subsidiary Yuehai Finance. The new agreement will take effect on September 1, 2024 and expire on December 31, 2026. This is aimed at continuing to utilize the financial services provided by Yuehai Finance in mainland China, including loans, deposits, guarantees, fund settlements, and other financial services. As the ultimate controlling shareholder of the Company, Yuehai Holdings holds approximately 58.26% of the shares, so both Yuehai Finance and Yuehai Holdings are considered related parties. According to Chapter 14A of the Listing Rules, certain transactions under the new agreement are considered continuing related transactions, but loan services and guarantee services are exempt from certain requirements. The maximum balance of funds under the new agreement is RMB 1.1 billion, and the maximum service fees from 2024 to 2026 are RMB 1 million, 1.2 million, and 1.5 million respectively. The Company emphasizes that the renewal agreement will help strengthen the channels of funds, meet the needs of business development, and save financial costs.
