Puyi Announces to Repurchase 4.46% Stake from Fanhua

Core Viewpoint - Puyi Inc. has announced a share repurchase agreement with Fanhua Inc. and a concurrent share transfer agreement, which are expected to close before December 31, 2023 [1] Group 1: Share Repurchase and Transfer - Puyi intends to repurchase 4,033,600 ordinary shares from Fanhua, representing 4.46% of Puyi's share capital [1] - Fanhua will acquire 15.41% of the equity interests in Puyi Fund, a wholly-owned subsidiary of Puyi, for a consideration that includes the share repurchase price and approximately RMB10.5 million in cash [1] Group 2: Company Background - Puyi Inc. was established in 2010 and listed on Nasdaq in 2019, focusing on personalized wealth management services for middle-class and affluent families [3] - Puyi holds licenses for securities, futures business, and fund distribution, and has developed a digital technology platform connecting with over 100 fund companies [3] - Puyi Fund, established in 2010, is a leading independent fund product distributor in China, initially owned 19.5% by Fanhua, which was later diluted to 15.4% [2] Group 3: Fanhua Overview - Fanhua, established in 1998, is a comprehensive financial services provider in China, focusing on family asset allocation services [4] - Fanhua operates a vast offline sales network across 31 provinces, with over 100,000 agents and 695 service outlets [4] - For the first nine months of 2023, Fanhua facilitated RMB12.4 billion in gross written premiums, with net revenues of RMB2.6 billion and net income attributable to shareholders of RMB307.7 million [5]