Zhangzidao Group transfers assets, sea area rights to optimize operations

Zhangzidao Group announced the proposed transfer of underperforming assets, including land use rights, buildings, structures, and machinery, to Dalian Haifa Cultural Tourism Development Co. for 11,555,100.00 yuan. The related party transaction is expected to generate 7.37 million yuan in net profit and recover 11.5551 million yuan in liquid funds.

Additionally, Zhangzidao Group plans to transfer seven idle sea area use rights to Dalian Zhangzidao Marine Development Group Co. and its subsidiary, Dalian Salt Chemical Group Co., for 38,440,000.00 yuan. This related party transaction aims to revitalize existing assets and improve asset quality, with a projected recovery of 40.13 million yuan in liquid funds and a net profit increase of 36.26 million yuan. These transactions align with the company's strategy to streamline its asset portfolio and focus on core operations.

Both transactions received approval from the company's independent directors and board of directors, with related parties recusing themselves from voting. The sea area use rights transfer will be put to a shareholder vote. Zhangzidao Group's indirect controlling shareholder, Dalian Zhangzidao Marine Development Group Co., has issued a letter of commitment to avoid horizontal competition post-transaction.