Hope Education subsidiary sells equity for 650 million yuan

XJ International Holdings Co. announced a major transaction where its wholly-owned subsidiary, Sichuan Hope Education Industry Group, agreed to transfer 100% equity interest in Shanghai Pumeng Zhichuan Education Technology and its subsidiary entities to Guilin Punuojie Electronic. The total consideration for the disposal is up to 650 million yuan. The purchaser's guarantor, URIT Medical Electronic, will provide a joint and several guarantee for the performance of obligations.

The disposal, signed on August 26, 2025, constitutes a major transaction under Listing Rule 14.06(3), requiring shareholder approval at an extraordinary general meeting (EGM). A circular with further details is expected to be dispatched by October 30, 2025.

The payment for the disposal will be made in instalments, with 100.0 million yuan paid upon execution, another 100.0 million yuan by September 2, 2025, and 200.0 million yuan by September 15, 2025. The remaining balance will be paid upon fulfillment of conditions precedent and transfer of equity interests. The company estimates an unaudited gain of approximately 8 million yuan from the disposal, with net proceeds to be used for improving operations of existing schools and satisfying basic operational needs.