Gelonghui on October 11th announced that the company's holding subsidiary, Nanjing Everyday Network Internet Technology Microloan Co., Ltd. (hereinafter referred to as the "Microloan Company"), is jointly invested by the company and Cornerstone Investment. As of September 30, 2024, the company holds 94.17% equity in the Microloan Company, while Cornerstone Investment holds 5.83% equity.
Now, due to its own strategic development needs, Cornerstone Investment has decided to exit the Microloan Company; after negotiation and consultation with relevant regulatory authorities, the exit will be implemented by reducing the investment in the Microloan Company by 24.5 million RMB unilaterally, while the company's investment in the Microloan Company remains at 395.5 million RMB. After the reduction, the registered capital of the Microloan Company will decrease from 420 million RMB to 395.5 million RMB, and the Microloan Company will change from a holding subsidiary of the company to a wholly-owned subsidiary.
This transaction does not constitute a related party transaction, nor does it constitute a significant asset restructuring as defined in the Measures for the Administration of Major Asset Restructuring of Listed Companies.
