Yuan Longping High-Tech Agriculture adjusts portfolio with strategic equity sales

Yuan Longping High-Tech Agriculture (YLHTA) is transferring its 23.4810% equity in Huazhi Biotechnology Co., Ltd. for 13,598.6340 yuan, with its subsidiary Guangxi Hengmao transferring 1.8987% for 1,099.6200 yuan. This totals 25.3797% equity for 14,698.2540 yuan to CITIC Agriculture, reducing YLHTA's stake in Huazhi Bio to 5.0001%. This move is expected to generate an investment income of approximately 1,124.00 yuan, aligning with YLHTA's focus on core crop seed businesses.

Additionally, YLHTA's subsidiary, Beijing Lianchuang Seed Industry, is acquiring 49% equity in Hunan Longping Oilseed Seed Industry (Longping Oilseed) from Chengtong CITIC Agriculture Structural Adjustment Investment Fund for 1,755.18 yuan. It is also acquiring 14.33% from Tian Zhihai for 513.42 yuan and 15% from YLHTA for 537.30 yuan. Lianchuang Seed Industry will also invest 238.80 yuan as capital increase. Post-transaction, Lianchuang Seed Industry will hold 79.6875% of Longping Oilseed, incorporating it into YLHTA's consolidated financial statements.

These transactions follow the rectification of prior non-disclosures regarding performance commitments from 2021 to 2024, as mandated by the Hunan Securities Regulatory Bureau. YLHTA confirmed that the accumulated net profit for Hunan Longping High-Tech Agricultural Development Co., Ltd. for 2018-2024 was -1,765.96 yuan, falling short of the 59,200.00 yuan target, triggering a compensation amount of 20,720.00 yuan.