Hong Kong IPO disclosure precedents · 6 companies, 6 items
Related-party transactions accounting for a material percentage of the company's revenue or purchases during the track record, raising dependence concerns.
In FY2023, FY2024, FY2025, 1H2025 and 1H2026, (i) our revenue from the Related Parties amounted to RMB822.6 million, RMB758.8 million, RMB614.3 million, RMB275.3 million and RMB306.8 million, representing 25.4%, 19.0%, 10.0%, 9.2% and 6.8% of our total revenue, respectively, and (ii) our purchases from the Related Parties amounted to RMB1,136.1 million, RMB1,397.8 million, RMB1,938.3 million, RMB875.9 million and RMB1,238.2 million, representing 40.5%, 39.2%, 34.1%, 24.2% and 31.5% of our total purchase amount, respectively.
Summary · p. 4
Transactions with the Related Parties are conducted based on normal commercial terms.
Business · p. 149
Our Directors are of the view that each of the related party transactions set out above was conducted in the ordinary course of business on an arm's length basis and with normal commercial terms between the relevant parties.
During the Track Record Period, our revenue from the sales from our related parties was RMB3,662.0 million, RMB3,465.1 million, RMB3,585.4 million, RMB820.3 million and RMB852.0 million, in 2023, 2024, 2025 and the three months ended March 31, 2025 and 2026, respectively, representing 73.3%, 68.4%, 56.5%, 65.5% and 57.8% of our total revenue during the same years/periods, respectively.
Financial Information · p. 259
Our Directors believe that our transactions with related parties during the Track Record Period were conducted on an arm’s-length basis and they did not distort our results of operations or make our historical results not reflective of our future performance.
Financial Information · p. 259
During the Track Record Period, our lease receivables primarily arose from certain equipment that we leased to two related-parties within the Haier Group.
In 2022, 2023 and 2024, the revenue generated from these Related Channel Partners accounted for 3.7%, 5.0% and 7.3%, respectively, of the total revenue from the sales of AMR solutions.
Business · p. 281
Our contract terms with the Related Channel Partners are substantially the same as those with independent channel partners.
In 2020, 2021 and 2022 and the six months ended June 30, 2022 and 2023, revenue recorded for providing services to related parties, including the aforementioned company controlled by Ms. Li, amounted to RMB1.7 million, RMB9.3 million, RMB81.8 million, RMB34.5 million and RMB49.5 million, respectively, representing for 0.4%, 2.0%, 14.9%, 13.3% and 16.0% of our total revenue for the same periods.
Financial Information · p. 317
The expenses increased from 2021 to 2022, which was primarily due to the technical service fees of RMB11.8 million we incurred for testing and implementation of our North Star System for our automobile dealership operation management services.
Financial Information · p. 318
In the six months ended June 30, 2023, we made a purchase of RMB5.7 million from a related party for the North Star System for the provision of our automobile dealership operation management services.
With respect to the related party transactions set forth in Note 35 to the Accountants’ Report set out in Appendix I to this prospectus, our Directors confirmed that the transaction were conducted on arm’s length basis and based on normal commercial terms and the transaction was fair and reasonable and in the interest of our Company and our Shareholders as a whole.
Financial Information · p. 417
The service fees paid by Yidatong were determined through arm’s length negotiations with reference to prevailing market rates.
Relevant costs paid to the related parties in total amounted to approximately RMB25.1 million, RMB30.2 million, RMB92.9 million and RMB62.3 million for FY2019, FY2020, FY2021 and 3Q2022, respectively.
Financial Information · p. 506
Following the Demerger resolved on 8 May 2019, certain assets including most of our investment properties were transferred from Zhongtian Construction to Puhui Commercial at their respective net book values as at 2 July 2019.
Financial Information · p. 507
During the Track Record Period, we also used funds from our related parties for our business operation. Upon Listing, the outstanding amounts due to our related parties will be settled or assigned to Independent Third Parties in full before or upon Listing.