DTXS Silk Road Investment Holdings Announces Strategic Acquisition of Tuopu Digital Technology

DTXS Silk Road Investment Holdings Company Limited (Stock Code: 620) has issued a significant business update on 11 March 2026, announcing the acquisition of a majority stake (50.1%) in Shan’xi Lingjing Tuopu Digital Technology Co., Ltd (“Tuopu Digital Technology”), a move that could have material implications for shareholders and potential investors.

Key Points of the Acquisition

• Acquisition Details: DTXS Silk Road’s wholly-owned subsidiary entered into a share purchase agreement with the vendors of Tuopu Digital Technology. The agreement involves the purchase of 50.1% equity interest for a total consideration of RMB7.8 million.
• Settlement Terms: The payment will be made through promissory notes with a three-year term, providing the company with flexibility in cash flow management.
• Post-Acquisition Structure: Upon completion, Tuopu Digital Technology will become a non-wholly-owned subsidiary of DTXS Silk Road, and its financial results will be consolidated into the Group’s financial statements.
• Vendor Independence: The vendors and their ultimate beneficial owners are confirmed to be third parties independent of DTXS Silk Road and its connected persons, minimizing conflict-of-interest risks.

About Tuopu Digital Technology

• Business Focus: Tuopu Digital Technology is a PRC-based limited liability company with a registered capital of RMB13.0 million. It specializes in extended reality technologies and the integration of technology and culture, focusing on immersive experience solutions.
• Growth Potential: The company is positioned at the intersection of digital innovation and cultural integration, offering DTXS Silk Road early access to emerging opportunities in the digital and innovative industry.
• Future Fundraising: DTXS Silk Road may undertake further fundraising activities, such as providing shareholder loans, to support Tuopu Digital Technology’s business development.

Strategic Rationale & Potential Impact for Shareholders

• Enhanced Competitiveness: The acquisition is aimed at implementing innovative marketing strategies and integrating extended reality technology into DTXS Silk Road’s core business areas—including properties and arts & collections—potentially improving customer experience and strengthening the Group’s market position.
• Business Diversification: This move allows DTXS Silk Road to diversify its business portfolio and capitalize on new growth opportunities in the digital economy.
• Financial Impact: The consolidation of Tuopu Digital Technology’s financials may positively affect DTXS Silk Road’s revenue streams and overall profitability, subject to successful integration and business growth.
• Transaction Compliance: The acquisition does not constitute a notifiable transaction under Chapter 14 of the Listing Rules, as all applicable percentage ratios are below 5%. However, shareholders should remain vigilant regarding potential future developments or fundraising activities related to Tuopu Digital Technology.
• Potential Price Sensitivity: The acquisition represents a strategic shift into high-growth, technology-driven sectors. If Tuopu Digital Technology’s immersive technology solutions gain traction, this could materially improve DTXS Silk Road’s valuation and share price. Investors are advised to monitor subsequent announcements and business progress closely.

Board Composition and Corporate Governance

The Board currently consists of five Executive Directors, including Chairman Lu Jianzhong, Co-Chief Executive Officer Wong Kwok Tung Gordon Allan, and three Independent Non-executive Directors. This composition underscores the company’s commitment to robust corporate governance.

Investor Guidance

Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company. The acquisition, while not immediately classified as a major transaction, may have longer-term implications for the Group’s business strategy and financial outlook. Stay updated on further announcements, especially regarding future fundraising or expansion activities.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with their financial advisors before making any investment decisions related to DTXS Silk Road Investment Holdings Company Limited. The information provided is based on the latest company announcement as of 11 March 2026 and may be subject to change.

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