Dong Yuhui bought Yuhuixing for 76 million and left Dongfangxuan

This evening, Dongfang Zhenxuan issued an announcement to sell 100% of its shares in Yuhui Tongxing to Dong Yuhui for RMB 76.5855 million. Dong Yuhui left Dongfang Zhenxuan. Although many people had guessed this result, it still surprised many people.

Dong Yuhui still left.

On July 25, Oriental Selection announced on the Hong Kong Stock Exchange that Dong Yuhui has decided to no longer serve as an employee of the company and senior management of a merged affiliated entity of the company. The resignation is due to Dong Yuhui's career ambitions, commitment to his other careers and personal time arrangements, and will take effect on July 25, 2024.

In addition to paying the promised benefits and compensation in full to Dong Yuhui, the Chairman of the Board, Yu Minhong, has sought the approval of the Board and the Board's Remuneration Committee to distribute all remaining undistributed profits of Huixingxing to Dong Yuhui.

In addition, according to the listing rules and the company's articles of association, Yu Minhong has made arrangements for the settlement of Dong Yuhui's acquisition of Yuhui Tongxing. In order to maintain the normal operation of Yuhui Tongxing, the company will provide Yuhui Tongxing with its self-developed information system free of charge.

According to an announcement by Oriental Selection on the Hong Kong Stock Exchange, on July 25, Dong Yuhui (buyer), Beijing New Oriental Xuncheng Network Technology Co., Ltd. (seller) and Yuhui Tongxing (Beijing) Technology Co., Ltd. (target company) entered into a sales agreement, pursuant to which the seller agreed to sell and the buyer agreed to acquire 100% of the equity of the target company for RMB 76.5855 million.

Subsequently, Yu Minhong published an open letter to shareholders of Oriental Selection on his personal public account.

The open letter stated that starting today, Dongfang Zhenxuan’s wholly-owned subsidiary Yuhui Tongxing will officially become independent from Dongfang Zhenxuan, with Dong Yuhui personally holding 100% of its shares.

It was affirmed that Dong Yuhui has made a significant contribution to the development of Oriental Selection. Without Dong Yuhui, there would be no rapid development of Oriental Selection. Therefore, it is my responsibility and obligation to protect Yuhui and let him develop and grow together with Oriental Selection.

After discussion and agreement by the Oriental Selection Board of Directors, regardless of the performance of the company, Yuhui will be given an attractive guaranteed income (cash + equity) to show recognition of Yuhui's value. In order to ensure that Yuhui can design the future of the company according to his own wishes and respect his interest in knowledge and cultural dissemination, the board of directors and I have not made any requirements for the income of the company. He can focus on recommending books, interviewing writers and promoting cultural tourism.

At the same time, it was promised that in addition to the full guaranteed income, if Yuhui Tongxing had any profit, Yuhui could continue to receive half of the company's net profit. In order to ensure that Yuhui and Yuhui Tongxing could start work in a timely manner, under my coordination, we quickly completed the registration of Yuhui Tongxing Company. In a few days, we vacated more than 1,000 square meters of office space for Yuhui Tongxing, reorganized a mature team of about 60 people, and provided a sales system, pallet supply and a large amount of equipment and facilities support.

In fact, there were early signs of Dong Yuhui's resignation.

Previously, in a talk show he hosted for the first time independently, Dong Yuhui said that because of the live broadcast, his parents were harassed for a long time. "Suppliers often contacted me and there was no hope, so I went to my rural hometown to look for my parents. My parents often closed the door. I felt very sorry for them when I said this. I often thought, I don't want to do this job (live broadcast) anymore.'"

Later, Dong Yuhui revealed in a conversation with Deng Jing that he had very poor sleep. Sometimes he took sleeping pills twice a night. He felt that it was worse than no sleep and was very miserable.

In the latest conversation with "50-year-old self-driving tour aunt" Su Min, Dong Yuhui also admitted, "I am very resistant to selling things. To be honest, I still don't enjoy this job to this day." Although he feels that his job has supporting significance, he does not have joy. "Maybe it is essentially due to my previous personality and past career."

According to the Daily Economic News, on June 5, the topic of "Dong Yuhui's 'solo' sales exceeded Oriental Selection" sparked heated discussions. According to Feigua data, in the Douyin sales list in May, Yuhui Xingxing ranked second with sales of 533 million yuan, while Oriental Selection ranked sixth. In the first four months of this year, the sales of the "Yuhui Xingxing" live broadcast room were 932 million yuan, 411 million yuan, 620 million yuan, and 538 million yuan respectively. In contrast, the sales of the Oriental Selection live broadcast room in the same period were 639 million yuan, 269 million yuan, 329 million yuan, and 242 million yuan, respectively, and the gap is gradually widening.

It is worth noting that as a pillar of the listed company Oriental Selection, this official announcement of resignation is bound to have a significant impact on the stock price of Oriental Selection.