SHENYANG PUBLIC (00747.HK): Disposes of 100% Equity Interest in Target Company for RMB 2 Million, Expects Gain of About RMB 33.55 Million
- The purchaser is Shenzhen Chengb Castle Century Trading Co., Ltd., wholly owned by Zhang Zehao and an independent third party; 50% of the consideration is payable within three days after the agreement becomes effective and the balance within five days after completion of the industrial and commercial registration change.
- The target group's adjusted unaudited consolidated total assets and total liabilities as at 31 August 2026 were approximately RMB 81,713,000 and RMB 142,500,000 respectively, with Shennongjia Hotel Co., Ltd. having outstanding construction payables of approximately RMB 101.7 million and having received a demand letter from a contractor.
- The Company expects to recognise a gain of approximately RMB 33,546,000 on the disposal, with net proceeds estimated at approximately RMB 1.88 million to be used as general working capital.
NewTimeSpace News: After trading hours on 18 September 2026, Shenyang Public Utility Holdings Company Limited (stock code: 00747) announced that, as vendor, it entered into a share transfer agreement with the purchaser, Shenzhen Chengb Castle Century Trading Co., Ltd., to conditionally sell the sale shares, representing 100% equity interest in the target company, Shenzhen Jusheng Chuangjian Investment Development Co., Ltd., at a consideration of RMB 2,000,000. The purchaser is wholly owned by Zhang Zehao and is an independent third party.
Of the consideration, 50% (RMB 1,000,000) is payable within three days after the agreement becomes effective, with the balance of RMB 1,000,000 payable within five days after the date of completion of the industrial and commercial registration change. The consideration was determined on normal commercial terms after arm's length negotiation by reference to the Company's share of the target group's adjusted unaudited consolidated net liabilities of approximately RMB 31,666,000 as at 31 August 2026, taking into account the financial effects of the Zhongya disposal, and the Company's share of the target group's losses of approximately RMB 22,324,000 and RMB 71,400,000 for the two years ended 31 December 2024 and 2025 respectively.
Upon completion, the Company will cease to have any interest in the target company and the target company's financial results, assets and liabilities will no longer be consolidated into the Group's consolidated financial statements. The Group expects to recognise a gain of approximately RMB 33,546,000 on the disposal, with net proceeds estimated at approximately RMB 1.88 million to be used as general working capital. The Company said the Shennongjia Hotel project still requires further capital investment before full commercial operation, and the disposal will substantially reduce the Group's financial exposure to the project and ease funding pressure from existing liabilities and further capital requirements, allowing it to focus its capital and management attention on its existing businesses and its edge computing infrastructure business.
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