Aztech Global Revises Completion Date and Payment Terms for Major Sale and Leaseback Transaction in China

Key Points from the Announcement

• Second Supplementary Agreement Signed: Aztech Global Ltd. and the Purchaser have entered into a second supplementary agreement regarding the sale and leaseback of a property held by Aztech DG, a wholly-owned subsidiary.
• Revised Payment Schedule: The Purchaser will pay the remaining RMB 13 million in two tranches: RMB 10 million by 31 October 2025 and RMB 3 million by 20 December 2025.
• Completion Date Extended: The completion date for the sale has shifted from 20 October 2025 to no later than 20 December 2025.
• Leaseback Arrangement: Aztech DG’s leaseback of part of the property will only take effect on the revised completion date.

What Investors Need to Know

This update is highly relevant for shareholders and potential investors as it reflects changes to the timeline and payment terms for a significant asset transaction in China. The sale and leaseback arrangement affects the Group’s cash flow, asset base, and operational footprint. The revised payment schedule introduces a short-term delay in cash inflow, which could have a direct impact on the company’s liquidity and financial planning for the remainder of 2025.

The extension of the completion date and the staged payment approach may indicate negotiations between Aztech Global and the Purchaser, potentially reflecting market conditions or the Purchaser’s financial position. Shareholders should pay attention to the certainty of payment, as any delay or non-payment could be material to Aztech’s financial health.

Furthermore, the leaseback component ensures Aztech DG maintains operational continuity in the property, which could be crucial for ongoing business activities. However, the delay in completion means the Group will not benefit from the leaseback arrangement until the new completion date.

Potential Share Price Impact

This news is potentially price sensitive. Any deferral in significant cash receipts or changes in asset ownership could influence investor sentiment and valuations, especially if the transaction size or strategic importance is substantial. The market may interpret the payment delay as a risk factor, and the finalization of the sale and leaseback could be seen as a positive once completed, providing clarity on cash flows and operational arrangements.

Full Details of the Revision

• Transaction Parties: Aztech DG (wholly-owned subsidiary of Aztech Global Ltd.) and an unnamed Purchaser.
• Agreement Type: Sale and leaseback of a property in China.
• Revised Payment Terms:
  • RMB 10 million to be paid by 31 October 2025
  • RMB 3 million to be paid by 20 December 2025
• New Completion Date: No later than 20 December 2025.
• Leaseback Agreement: Takes effect on the New Completion Date.

The Board, represented by Company Secretary Pavani Nagarajah, notified shareholders of the update on 28 October 2025. Investors are advised to monitor subsequent announcements for confirmation of payment and completion, as well as details of the leaseback arrangement and its financial impact.

Conclusion

The revised payment and completion schedule for Aztech Global’s major sale and leaseback transaction could influence the company’s near-term financial outlook and operational stability. Investors should remain vigilant for any further developments or potential risks related to the transaction’s completion and cash flow realization.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are urged to conduct their own due diligence and consult with professional financial advisors before making investment decisions related to Aztech Global Ltd.

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