Lao Feng Xiang subsidiary to boost Maybach Luxury Asia Pacific stake

Shanghai Lao Feng Xiang Co., Ltd. (LFX) will, through its controlled subsidiary Lao Feng Xiang Hong Kong Co., Limited (LFXHK), invest $24,000,000 to subscribe for 2,000 voting ordinary shares in Maybach Luxury Asia Pacific Co. Limited (MAP), representing 20% of MAP's issued shares post-issuance. A valuation report, dated October 2, 2025, sets the total shareholder equity value of MAP at $12,600,000.00 as of June 30, 2025.

This transaction is deemed a related-party transaction due to LFXHK's director appointments to MAP. LFXHK has also signed a brand agency agreement with MAP, with an initial procurement volume of not less than $1,000,000 for the transitional period in 2025 and $2,000,000 per half-year in 2026. The total estimated related-party transaction amount for 2025-2027 will not exceed 5% of LFX's net assets as audited in 2024.

MAP was established in Hong Kong on February 11, 2025, with a registered capital of HK$10,000. Its current shareholders are Maybach Icons of Luxury GmbH (51%), Eifel Equity Limited (20%), Maysia Commerce HK Limited (15%), and Halcyon Hong Kong Limited (14%). Post-investment, LFXHK will hold 20%, reducing Maybach Icons of Luxury GmbH's stake to 31%. The transaction aims to expand LFX's international market presence and enhance its brand value.