Dongfeng Automobile sells assets in partial acquisition deal

Dongfeng Automobile Company Limited announced that its board has approved the acquisition of its assets by the Xiangyang High-Tech Industrial Development Zone Land Reserve and Supply Center. The company will sell buildings and attachments on land used by Dongfeng Automobile, located at No. 2 Jingfeng Road, and also assets belonging to its wholly-owned subsidiary, Xiangyang Dongfeng Longcheng Machinery Co., Ltd., located at No. 17 Fukang Avenue.

The total compensation for Dongfeng Automobile's assets is estimated at CNY 4,497.5169 million. Additionally, Xiangyang Dongfeng Longcheng Machinery Co., Ltd. will receive CNY 241.9484 million for its assets. These figures are based on asset valuations by Hubei Huarun Asset Appraisal Real Estate Valuation Co., Ltd. and approved by the High-Tech Zone Government Investment Review Center.

The company expects a positive impact on its profits after deducting asset costs and taxes. The compensation will be paid within seven working days of the agreement signing, and Dongfeng Automobile will transfer property deeds and vacate the premises within 30 days.