Guangzhou, China, November 24, 2022 (GLOBE NEWSWIRE) — Fanhua Co., Ltd. (“Fanhua” or “we”) (Nasdaq: FANH) is a leading independent financial services provider in the United States. Chinatoday announced that it has signed a term sheet (the “Term Sheet”) with existing shareholders Zhongrong Smart Finance Information Technology Co., Ltd. (“Zhongrong”) will acquire a 57.73% stake in Zhongrong in an all-stock transaction.Transaction is about to be completed January 2023subject to certain customary conditions, including the completion of adequate due diligence.
Pursuant to the term sheet, the proposed transaction involves the issuance of up to 62 million new shares of common stock. sail flowerrepresenting 5.44% of the expanded share capital in exchange for 57.73% of Zhongrong’s equity interest.
Founded in 2018, Zhongrong is one of the world’s leading managing sole agents. ChinaZhongrong offers life insurance products through a network of approximately 300 unaffiliated regional insurance agents. In 2021, gross premiums written in the life insurance business will be 1.4 billion RMBof which the premium for the first year is approximately RMB 730 million.
Mr Fu YinanChairman and CEO sail flower, commented on the proposed trade. “With the experience and resources accumulated over the past 20 years, sail flower We are committed to building a public infrastructure platform that supports independent insurance intermediaries and independent agents of all types to operate and thrive under a unified compliance framework. Professional training systems and services, as well as capital support. ”
“As a general affairs agency representing Japan China, Zhongrong has unique advantages in compliance and quality control. The acquisition of Zhongrong is expected to greatly enhance the compliance and quality control capabilities of Fanhua’s platform and rapidly increase its market influence. This is also an important step in accelerating the expansion of our platform foothold, contributing to the sustained and high-quality growth of the life insurance agency channel in China. ”
about Fanhua Co., Ltd.
Fanhua Co., Ltd. A leading independent financial services provider. Through our online platform and offline sales and service network, we provide individuals with a variety of financial products and services, including life insurance, property and casualty insurance, and property and casualty insurance. We also offer claims reconciliation services such as damage assessment, investigations, certifications and damage estimates, as well as value-added services such as emergency vehicle roadside assistance.
Our online platforms include: Standard health insurance products from multiple insurance companies are displayed on your mobile device. (ii) Baowang (www.baoxian.com), an online entry portal for comparing and purchasing short-term health insurance, accident insurance, travel insurance and homeowners insurance products; and (iii) eHuzhu (www.ehuzhu.com). ), a non-profit online mutual insurance assistance platform China.
Current September 30, 2022our distribution and service network consists of 697 sales outlets covering 23 provinces, autonomous regions and municipalities, and 100 service outlets covering 31 provinces.
For more information, Fanhua Co., Ltd.please visit http://ir.fanhuaholdings.com/.
Forward-Looking Statements
This press release contains forward-looking statements. These statements, including statements regarding our future financial and operating results, are we Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by the words “intends,” “anticipates,” “believes,” “anticipates,” “intends,” “estimates,” and similar statements. In particular, the Management’s Estimates and Business Outlook section contains forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections. sail flower and the industry.Potential risks and uncertainties include our ability to attract and retain productive agents, especially entrepreneurial agents, our ability to maintain existing business relationships with insurers and develop new business relationships, and our growth strategy. our ability to execute, our ability to adapt to the evolving regulatory environment in China’s insurance industry, our ability to compete effectively with our competitors, our quarterly fluctuations in operating results caused by factors beyond our control; China, the future evolution of the COVID-19 outbreak and its potential impact on sales of insurance products. Unless otherwise stated, all information in this press release is current as of the date of this press release. sail flower We undertake no obligation to update forward-looking statements to reflect future events or circumstances or changes in expectations, except as required by law.nevertheless sail flower Although we believe that the expectations expressed in these forward-looking statements are reasonable, we cannot assure you that such expectations will prove correct and investors should not be held liable for actual results. Please note that your results may differ materially. More information on the risks and uncertainties you face sail flower Included in Fanhua’s filing US Securities and Exchange CommissionIncludes Annual Report on Form 20-F.
For more information, please contact:
PR for investors
Phone: +86 (20) 8388-3191
Email: qiusr@Fanhuaholdings.com
sauce: Fanhua Co., Ltd.
sauce: Fanhua Co., Ltd.
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