Yihua Life issued an announcement stating that due to the needs of business development and asset optimization, the company plans to sell 99.95% of its wholly-owned subsidiary Shantou Yihua Furniture Co., Ltd. for a price of 320 million yuan.

According to the announcement, Yihua Life intends to transfer the land use rights of about 168.48 mu of industrial land under the name of the company currently in use by Shantou Yihua and the above-ground buildings on the land to Shantou Yihua. After the aforementioned transfer is completed, the company will transfer the 99.95% equity of Shantou Yihua to Jieyang Zhongcui Real Estate Development Co., Ltd. (hereinafter referred to as "Jieyang Zhongcui") at a price of 320 million yuan.

According to the data, Shantou Yihua is a wholly-owned subsidiary of Yihua Life, originally a wooden furniture factory of the company, and the company directly holds 100% of its equity. From January to June 2020, Shantou Yihua’s operating income was RMB 3,137,900 and a net profit loss of RMB 37,072,500.