According to the Zhitong Finance App, Yongda Auto (03669) issued an announcement. On October 2, 2019, the company entered into a sales agreement with the seller. The company acquired all of the issued shares of Yingzhijie Asia Pacific Co., Ltd. (target company) from the seller, at a consideration of RMB 830 million.

After delivery, the target company will become a direct wholly-owned subsidiary of the company, and the financial results of the target company will be incorporated into the company's consolidated financial statements.

The seller is Inchcape Overseas Limited, a direct wholly-owned subsidiary of Inchcape (INCH.UK), which is a global distributor and retailer of leading OEM partners in the automotive industry. The seller is a holding company that invests in foreign markets on behalf of Inchcape.

The target company is a limited company incorporated and surviving under the laws of Hong Kong. The target company is the holding company of the target group. Target Group operates a Porsche 4S dealership and a Tesla authorized maintenance center in Nanchang, Jiangxi Province, a Mercedes-Benz 4S dealership in Jiujiang City, Jiangxi Province, and a Lexus 4S dealership in Shaoxing City, Zhejiang Province.

The target company achieved net profit of 454.19 million yuan and 62.897 million yuan respectively after tax in the 2017 fiscal year 2018.

The acquisition will help strengthen and expand the company's 4S network and network coverage, and further enhance its ability to provide customers with a full range of “one-stop” automobile-related services such as automobile sales, after-sales service, auto finance and used cars.