Wisdom Education inks high school management deal for Yunfu High School

Dongguan Ruixing, a wholly-owned subsidiary of Wisdom Education International Holdings Company Limited, has entered into a Yunfu High School Management Services Agreement with Yunfu Guangming School. The agreement, effective from October 1, 2025, to August 31, 2028, involves Dongguan Ruixing providing comprehensive management consultancy services to Yunfu High School. Services include strategic planning, operational management, teaching, human resources, financial management, and information system construction.

The service fees are calculated bi-annually at 20% of Yunfu High School's revenue for the corresponding period, payable within 60 days. This arrangement is contingent on Yunfu High School demonstrating sound financial health, with revenue sufficiently covering all educational activities and investments. Proposed annual caps for these services are RMB8,000,000 for each financial year ending August 31, 2026, August 31, 2027, and August 31, 2028, respectively. These caps include a 5% buffer for potential revenue increases.

The transaction constitutes a continuing connected transaction for Wisdom Education, given that Yunfu Guangming School is an associate of Ms. Li and Mr. Liu, controlling shareholders of the company. However, it is exempt from circular and independent shareholders' approval requirements under Chapter 14A of the Listing Rules due to applicable percentage ratios being below 5%.