According to the app of Zhītōng Cáijīng (Smart Finance), ktk group co., ltd. (603680.SH) announced that the company (referred to as "Party B") signed the "Investment Framework Agreement on Acquiring Changzhou Heyuan Rail Transit Technology Co., Ltd." with Changzhou Wujin Comprehensive Bonded Zone Investment Construction Co., Ltd., Huang Jun, Huang Chunhong (collectively referred to as the "Purchaser" or "Party A") on November 11, 2024. The company intends to sell 100% equity of its wholly-owned subsidiaries Changzhou Heyuan Rail Transit Technology Co., Ltd. and Jiangsu Mingxin Traffic Equipment Co., Ltd. (referred to as the "Target Companies" or "Party B") to the Purchaser, who plans to acquire the equity of the aforementioned Target Companies by paying in cash.

In this transaction, the company plans to sell 100% equity of the Target Companies based on the overall operation and development needs of the company, which align with the company's future global strategy layout, help control international trade risks, optimize assets and business structure, and increase the company's cash reserve, further enhancing the company's overall competitiveness and sustained profitability.