China Hi-Tech Subsidiary Receives Ping An Real Estate "Agreement Termination Letter"

(Source: Beijing Business Today)

Beijing Business Today News (Reporter Wang Manlei) announced on March 15 that China High-Tech (600730) disclosed that its wholly owned subsidiary, Beijing Gaoke Guorong Asset Management Co., Ltd. (hereinafter referred to as “Guorong Asset”), received a “Termination Letter” from its related party, Shenzhen Ping’an Real Estate Investment Co., Ltd. (hereinafter referred to as “Ping’an Real Estate”), on March 12. According to regulations, Ping’an Real Estate exercised its right to terminate the contract under the entrusted service agreement and the supplementary agreement.

The announcement shows that China High-Tech’s wholly owned subsidiary, Guorong Asset, signed an entrusted service agreement and supplementary agreement with Ping’an Real Estate in 2024. The agreement stipulates that Ping’an Real Estate, as the asset management service institution for the Ping’an Trust Beiji 1st Property Rights Trust, entrusts part of its functions to Guorong Asset. Guorong Asset is responsible for managing the entrusted assets, including litigation, operation, maintenance, disposal, liquidation, realization, and daily management, and will charge a service fee. This matter constitutes an associated transaction for the company.

China High-Tech stated that in the “Termination Letter,” Ping’an Real Estate explained that, noticing the transfer of the company’s control rights and the imminent change of the actual controller, after careful evaluation, it exercised its right to terminate all entrusted service agreements and supplementary agreements based on Article 933 of the Civil Code of the People’s Republic of China. The termination letter takes effect from the date of notification delivery, and the asset management services involved will be arranged separately by Ping’an Real Estate. Considering that the company’s related asset service business is still in the development stage with limited scale and revenue contribution, the termination of the agreement with Ping’an Real Estate does not involve the company’s core main business and will not have a significant adverse impact on the company’s current production, operations, financial condition, or ongoing business capabilities.