Zhejiang Orient Financial unit invests in new provincial innovation fund

Zhejiang Orient Financial Holdings Group Co., Ltd. announced that its wholly-owned subsidiary, Zhejiang Orient Group Industrial and Financial Investment Co., Ltd., plans to invest 200 million yuan (representing a 5% stake) in the newly established Zhejiang Zizhi Technology Innovation Industrial Integration Development Co., Ltd.

This joint investment includes Zhejiang International Trade Group Co., Ltd. (ZITIC), Zhejiang Orient Financial's controlling shareholder, and other provincial enterprises. The new entity, with a registered capital of 4 billion yuan, will primarily invest in the Zhejiang Social Security Technology Innovation Fund, focusing on fostering industrial upgrades in Zhejiang Province.

The investment constitutes a related party transaction due to ZITIC's controlling shareholder status. However, the transaction's cumulative amount, when combined with other recent related party transactions, does not exceed 5% of Zhejiang Orient Financial's latest audited net assets, so it does not require shareholder approval.

The board of directors approved the investment on October 17, 2025, with independent directors concurring that it aligns with the company's strategy and will enhance fund management while spreading risks. The company notes that Zizhi Tech Innovation is in the preparatory phase, and its future operations may face economic, policy, and operational risks, potentially impacting expected returns.