GAC Group plans to sell part of its stake in Juwan Technology Research

Guangzhou Automobile Group Co., Ltd. announced that it plans to transfer its 15.82% stake in Guangzhou Juwan Technology Research Co., Ltd. to its controlling shareholder, Guangzhou Automobile Industry Group Co., Ltd. At the same time, GAC Capital Co., Ltd. also plans to transfer its 3% stake in Juwan Technology Research to GAC Industry Group. The equity transfer consideration is approximately RMB 1.118 billion and RMB 212 million, respectively. After the transaction is completed, GAC Group will no longer directly hold the equity of Juwan Technology Research, but will still indirectly hold its 15.6% stake through GAC Capital. In addition, GAC Capital will no longer have the right to nominate Juwan Technology Research's directors and management, and its remaining equity in Juwan Technology Research will be adjusted from equity accounting to financial assets measured at fair value.