Wanda Hotel Development Company Limited (169) disclosed that on 31 October 2025, its indirect non-wholly owned subsidiary, Wanda Chicago Real Estate, LLC (“Wanda Chicago”), entered into a securities and real estate transfer agreement with CPE Stage Investments, Inc. (“CPE”). Under the agreement, Wanda Chicago will acquire 49% of the issued share capital of Vampire Squid Productions Limited (the “Target Company”) and, in exchange, will transfer 16 condominium units located at 363 E. Wacker Drive, Chicago, Illinois 60601 (“Condo Units”) to CPE.

The Target Company is principally engaged in issuing television production licenses, including management of “The Octonauts” intellectual property. Prior to completion, the Target Company is owned 51% by Wanda Kids Cultural Development Co., Limited and 49% by CPE. After the transaction, Wanda Chicago and Wanda Kids Cultural Development Co., Limited will respectively hold 49% and 51% of the Target Company’s equity interests.

The exchange of the Condo Units for the 49% stake in the Target Company follows valuations by two independent valuers. PG Advisory Global Limited (“PG”) provided a valuation for the Target Group’s total equity of approximately RMB663.59 million to RMB775.22 million (HKD727.96 million to HKD850.42 million). Cushman & Wakefield of Illinois, Inc. (“C&W”) provided a valuation for 37 condominium units (including the 16 units subject to the deal) at approximately USD112.48 million (HKD876.45 million), with the specific Condo Units valued at around USD47.46 million (HKD369.82 million).

Upon dealing completion, Wanda Chicago expects to record a gain of around HKD28.18 million, subject to final audit and exchange rate adjustments. The transaction will diversify Wanda Hotel Development’s business scope by gaining entry into a broader cultural IP operation field. It qualifies as a discloseable transaction under Chapter 14 of the Listing Rules, as it exceeds 5% but is below 25% in the required percentage ratios, and therefore does not require shareholder approval but is subject to reporting and announcement obligations.