YOURAN DAIRY (09858) enters into an asset swap agreement with Saikexing

YOURAN DAIRY (09858) announced that on November 9, 2026 (after trading hours), Inner Mongolia Youran, a wholly-owned subsidiary of the Company, entered into an asset swap agreement with Saikexing, pursuant to which Inner Mongolia Youran intends to acquire from Saikexing all equity interests in the transferred-in subsidiaries and sell all equity interests in the transferred-out subsidiaries. Inner Mongolia Youran shall pay Saikexing in cash the amount by which the consideration for the transferred-in subsidiaries exceeds the consideration for the transferred-out subsidiaries, being approximately RMB140 million. The above transactions are mutually conditional and will take effect simultaneously. The transferred-in subsidiaries are 18 subsidiaries directly wholly-owned by Saikexing, namely: Bayannur Saikexing, Beijing Haihua Yundu, Cangzhou Saikexing, Chengde Saiyou, Dalad Banner Saiyou, Dingzhou Saikexing, Otog Banner Saiyou, Huaxia Livestock, Hebei Benfang, Hulunbuir Saiyou, Hulunbuir Saikexing, Inner Mongolia Benteng, Inner Mongolia Saikexing, Jiyuan Saikexing, Ningxia Saikexing, Inner Mongolia ERDOS Resources Saikexing, Wuqiang Saiyou and Xundian Saiyou. The transferred-in subsidiaries are principally engaged in the dairy cattle farming business and the production and sale of raw milk. The transferred-out subsidiaries are 2 subsidiaries directly wholly-owned by Inner Mongolia Youran, namely Jumucheng Technology and Muquan Feed, and 9 subsidiaries directly wholly-owned in aggregate by Jumucheng Technology and Muquan Feed as at the date of this announcement. The transferred-out subsidiaries are principally engaged in the production and sale of concentrated feed and ruminant farming consumables. As at the date of this announcement, the Company indirectly owns 100% and 66.86% of the equity interests in the transferred-out subsidiaries and the transferred-in subsidiaries, respectively. Immediately upon completion of the proposed asset swap, the Company will indirectly own 66.86% and 100% of the equity interests in the transferred-out subsidiaries and the transferred-in subsidiaries, respectively. The announcement stated that, as the sale and acquisition contemplated under the asset swap agreement are intra-group transactions, the proposed asset swap is substantially an internal restructuring of the Group. Through the proposed asset swap, Saikexing will transfer the dairy cattle farming business and the raw milk production and sales business carried on by the transferred-in subsidiaries to Inner Mongolia Youran, and focus on its breeding and feed businesses. This is expected to clearly delineate the businesses of Inner Mongolia Youran and Saikexing, minimize competition between the two, improve the allocation and management of operating assets, and establish a clear business structure for the proposed spin-off.