HORIZON CD (09930) announced that on March 13, 2026, Tianjin Hongtou, a wholly-owned subsidiary of the company, entered into a share transfer agreement with Shanghai Depeng. Under the agreement, Tianjin Hongtou conditionally agreed to purchase, and Shanghai Depeng conditionally agreed to sell, a 25.6306% equity interest in Shanghai Hongzuo New Energy Technology Co., Ltd. for a consideration of RMB 77.4029 million.
As of the date of the announcement, Shanghai Depeng is a wholly-owned subsidiary of Far East Horizon (03360), which is the controlling shareholder of HORIZON CD, holding approximately 44.89% of the company's issued ordinary shares. Therefore, Shanghai Depeng is a connected person of the company under the listing rules. Consequently, the acquisition constitutes a connected transaction for the company under Chapter 14A of the listing rules.
Shanghai Hongzuo is one of China's leading investment and operation enterprises for distributed photovoltaic power stations. Its main business currently does not involve overseas markets. Meanwhile, the photovoltaic markets in the Middle East and Southeast Asia are developing rapidly. The Middle East is one of the world's fastest-growing regions for photovoltaics, with local governments actively supporting industry development. The compound annual growth rate of solar installed capacity in the region is expected to exceed 50% over the next five years. HORIZON CD has already established a scaled physical asset presence and a comprehensive network and team in the Middle East and Southeast Asia. Its equipment leasing business is becoming increasingly mature, and the equipment deployed locally can effectively support the construction of local photovoltaic power stations, providing the company with a certain customer base.
The acquisition will help deepen the cooperative relationship between the parties and create strategic synergies in the Middle East and Southeast Asia. In the future, the parties will jointly engage with leading local EPC enterprises. By establishing a new overseas cooperation model, they aim to accelerate the exploration of industrial opportunities across the upstream and downstream sectors of the overseas distributed photovoltaic market, thereby benefiting the overall interests of the company and its shareholders.