On December 10th, Gelonghui reported that AUSTAR (06118.HK) announced that after signing the demolition compensation agreement, due to changes in circumstances, Shanghai AUSTAR signed a termination agreement with the Urban Industrial Park Management Committee on December 10, 2024. As a result, the demolition compensation agreement has been terminated, and all rights and obligations of the Urban Industrial Park Management Committee and Shanghai AUSTAR under the demolition compensation agreement are also terminated.

The Group has not received any compensation payments related to the demolition compensation agreement. The Board of Directors believes that the termination of the demolition compensation agreement will not have a significant adverse impact on the Group's existing Business or financial condition.