China Travel HK (00308.HK) announced that on July 26, 2024, CITS (as the seller) and the non-wholly-owned subsidiary of China National Automotive (as the buyer) entered into a purchase agreement. Accordingly, CITS agreed to sell and China National Automotive agreed to acquire seven (7) second-hand tourist buses with passenger transportation operating license certificate, for a total price of 9.98 million Hong Kong dollars.

According to current government policies, there is a limit on the total number of non-franchised buses in Hong Kong, and there is no growth in newly registered passenger transportation licenses. However, after the COVID-19 epidemic, the demand for non-franchised bus services has steadily increased. In addition, the market for passenger transportation licenses has been pushed up due to supply and demand imbalances. The acquisition will enable the group to expand its bus fleet at a reasonable cost and seize new business opportunities in Hong Kong's development.