Cango Inc. Announces Receipt of a Preliminary Non-Binding Letter of Intent and Formation of Special Committee

Core Viewpoint - Cango Inc. has received a preliminary non-binding letter of intent from Enduring Wealth Capital Limited to acquire control of the company through a series of proposed transactions, including the acquisition of shares from the co-founders and restructuring of the board and management team [1][2] Group 1: Proposed Transactions - EWCL proposes to acquire 10,000,000 Class B ordinary shares from the co-founders at a mutually agreed cash price [1] - The company is expected to take necessary actions to ensure that the acquired shares maintain their voting rights of 20 votes per share [1] - The co-founders will convert their remaining Class B shares into Class A shares and resign from all positions within the company [1] - EWCL suggests that the company should dispose of its existing business in China and focus on expanding its crypto mining business [1] Group 2: Company Background - Cango Inc. primarily operates a leading Bitcoin mining business and has expanded into the crypto assets market since November 2024 [4] - The company has mining operations in strategic locations including North America, the Middle East, South America, and East Africa [4] - Cango has been operating automotive transaction services in China since 2010, aiming to simplify car purchases [4] Group 3: Special Committee Formation - The Board has formed a special committee consisting of three independent directors to assess the Letter of Intent and the proposed transactions [2] - The special committee will negotiate terms and conditions if it decides to pursue any of the proposed transactions [2] - Independent legal and financial advisors are expected to be retained to assist in evaluating the proposed transactions [2]