The Huai'an Xiujin Residential Real Estate Project is an internally generated non-performing asset project of a certain group. It is a real estate investment project jointly led by Shanghai Yinding and other companies to dispose of non-performing assets. In 2013, a certain company entrusted a bank to issue entrusted loans to a real estate company in Huai'an. In 2018, the company packaged and sold the debt and two other debts to a company in Jiangxi as a subordinate investment enterprise. One of the projects in Huai'an has been converted into property rights through early investment and operation, with assets loaded into the Huai'an residential real estate project and completed the first phase of construction, bringing it close to delivery status; Due to the management capability of the Jiangxi company and its own debt issues, the development of the Huai'an residential real estate project has been stalled due to debt sealing, resulting in secondary non-performing loans.

1. Acquiring debt, controlling priority LP and GP1, and gaining control over a company and its assets in Huai'an.

2. Acquiring GP2 shares and gaining full control over a company and its assets in Huai'an. By continuing to acquire debt, one can immediately apply to the court for compulsory execution of the auction partner's shares, with strong time controllability; At the same time, after obtaining partner shares through auction, one can gain control over the project company, thereby achieving the goal of rapidly advancing the company's restructuring; And it can lift the closure of the first phase development project, quickly initiate housing sales, and obtain cash flow recovery.

3. Remove the inferior LP, achieve cost control of acquiring a company in Huai'an, reduce the allocation amount of inferior funds, and prevent malicious borrowing or guarantee behavior by inferior companies.

4. Promote the Huai'an project company to apply for bankruptcy pre restructuring, eliminate various potential debt risks that may be hidden, and make it a company with clear and clean debt and credit.

5. Fully independently develop and sell the project, seize favorable market opportunities, and achieve project profitability.

The filing price of the first phase of the project is far lower than the selling price of the surrounding buildings. When the filing price is unchanged and the realization of commercial parking spaces is not considered, the short-term recoverable cash flow of the project is considerable, and after most of the priority funds are repaid, the project can still achieve self-sufficiency, and the demand for additional investment is low. Calculated based on cautious selling prices, without considering factors such as rising housing prices, the total value of the Huai'an project, after deducting costs and taxes, is expected to achieve a total return rate of 89.09%.

1. Synchronize the acquisition of key debts to increase project controllability. Due to the dual GP management model of Huai'an Company's shareholders, shares are divided into priority shares and subordinate shares. Therefore, if only acquiring GP1 debt, complete control cannot be achieved, and the project timeline will be uncontrollable. Yinding Asset acquired GP1 debt and GP2 debt simultaneously, indirectly gaining control of the partnership enterprise and increasing project controllability by obtaining shares of the parent company and applying for execution.

2. Through thorough research and multi-party cooperation, resolve the operational risks of bankruptcy reorganization. Yinding Asset Joint Law Firm conducts thorough research and analysis on the legal and operational risks of the project, analyzes and prepares for any legal obstacles that may arise during the implementation of the project plan, and ensures that the project plan is free from legal barriers. In addition, Yinding has already had sufficient communication with the local government and court in the early stage, and has communicated with various creditors. All parties have expressed support and cooperation for our project proposal.