Hefei Urban Construction Development (002208.SZ) announced on September 24 that the company plans to issue shares to purchase 100% equity of Xingtai Group held by the Trading Group. As of the date of this proposal signing, the audit, evaluation, and due diligence work related to this transaction have not been completed, and the transaction price of the target assets has not yet been finally determined. The final transaction price will be determined through negotiation by the parties involved based on the evaluation results of an asset evaluation institution hired by the listed company in compliance with the Securities Law, and recorded by the competent state-owned asset supervision and administration department.

Prior to this transaction, the listed company's main business was real estate development, including residential real estate, commercial property, as well as office buildings and industrial property development. The target company focuses on trading services, with main businesses including bid agency services, bid value-added services, property rights trading services, etc., positioned upstream of the listed company's industry. After this transaction, the Trading Group will become a wholly-owned subsidiary of the company, and the main business of the listed company will extend upstream into the field of trading services.

The target company has been deeply involved in the trading services field for many years, accumulating abundant supplier resources in terms of engineering, goods, services, etc., and possessing excellent trading service capabilities. The listed company has a significant amount of procurement needs in the process of carrying out its main business currently, and the target company can synergize well with the listed company, enhancing the listed company's supply chain management and cost control capabilities, thereby reducing operating costs, boosting company profitability. On the other hand, against the backdrop of significant changes in the supply and demand relationship in the current real estate market, this transaction will optimize the listed company's original single real estate business development model, accelerate transformation and upgrading, broaden income and profit channels, optimize the listed company's capital structure, enhance the listed company's sustainability and risk resistance capabilities, and help maximize the interests of the listed company's shareholders.