On 10 February 2026, China City Infrastructure Group Limited (Stock Code: 2349) announced a conditional agreement under which its wholly owned subsidiary, Shenzhen Huafeng Infrastructure Investments Company Limited, will acquire 60% of the equity in Shenzhen Shi Zhilian Fei Chuang Technology Limited (the “Target Company”). The Target Company, currently fully owned by Qianhai Jiesuan Company Limited, specializes in artificial intelligence technology and software-as-a-service solutions.

The total consideration of HK$3,300,000 will be settled by the issuance of three-year zero-coupon convertible bonds at a conversion price of HK$0.30 per share, implying the possible issuance of up to 11,000,000 new shares, or approximately 0.35% of the enlarged share capital of China City Infrastructure Group Limited upon full conversion. The Target Company recorded unaudited net losses of around HK$4,239,000 and HK$715,000 for the years ended 31 December 2024 and 2025, respectively.

Upon completion—subject to necessary consents and approvals—60% of the Target Company will be held by Shenzhen Huafeng Infrastructure Investments Company Limited and 40% by Qianhai Jiesuan Company Limited. The transaction is expected to broaden China City Infrastructure Group Limited’s business portfolio beyond its core property development, property investment, and property management activities, which is intended to diversify risks and tap into the growth potential of artificial intelligence. Under Chapter 14 of the Listing Rules, the size of the acquisition meets the threshold for a discloseable transaction.