Yimutian Inc. to Acquire Ningbo Xunxi Technology for RMB 50 Million, Entering the Enterprise Digital Commerce Market
Yimutian (NASDAQ:YMT) agreed to acquire 100% of Ningbo Xunxi Technology for RMB 50 million (RMB 40M cash; RMB 10M in stock options), subject to customary closing conditions.
Rhea-AI Summary
Yimutian (NASDAQ:YMT) agreed to acquire 100% of Ningbo Xunxi Technology for RMB 50 million (RMB 40M cash; RMB 10M in stock options), subject to customary closing conditions. Xunxi reported 2025 audited revenue RMB 340M and net profit RMB 5.8M.
The deal includes a multi-year earnout through 2028 tying meaningful consideration to audited net profit targets; management will remain and operate Xunxi as a dedicated unit post-close.
Positive
- Acquisition price of RMB 50M for a RMB 340M revenue business
- Xunxi reported RMB 340M 2025 audited revenue
- Earnout ties a significant portion of value to post-close profit
- Retained management to operate as a dedicated unit post-close
Negative
- Xunxi 2025 net profit was only RMB 5.8M
- Material consideration contingent on achieving elevated profit targets
- If 2026 net profit < RMB 12M, founders must pay compensation
Details
News Market Reaction – YMT
On Mar 24, the first trading day after this news, YMT closed 9.93% above the previous close.
Data tracked by StockTitan Argus for the Mar 24 session.
Key Figures
- Total consideration
- RMB 50 million
- Purchase price for 100% of Xunxi equity
- Cash portion
- RMB 40 million
- Cash payable to exiting Xunxi shareholders
- Stock options portion
- RMB 10 million
- Stock options awarded to retained Xunxi management
- 2025 revenue
- RMB 340 million
- Xunxi audited 2025 top-line revenue
- 2025 net profit
- RMB 5.8 million
- Xunxi audited 2025 net profit
- 2026 earnout thresholds
- RMB 15M / 22.5M / 30M
- Net profit levels tied to 2x, 4x, 6x payouts
- Compensation trigger
- RMB 12 million
- If 2026 net profit below this, founders compensate Yimutian
- Members
- 2 million
- Registered users on Xunxi digital commerce platform
Previous Acquisition Reports
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Preliminary deal to acquire Jiufeng Agriculture for AI-driven integrated ecosystem.
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Due diligence completion and confirmation of mixed cash-stock structure for Xunxi.
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Binding agreement to buy Xunxi and expand into B2B2C ecosystem with expected EPS uplift.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
stock options financial
earnout financial
net profit financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Xunxi brings RMB 340 million in audited 2025 revenue, 200+ institutional clients, and a 2 million-member digital commerce platform; performance-linked earnout structure ties management incentives to three-year profit targets
BEIJING, March 23, 2026 (GLOBE NEWSWIRE) -- Yimutian Inc. (the "Company") today announced that it has reached a binding acquisition agreement with Ningbo Xunxi Technology Co., Ltd. ("Xunxi"), a Zhejiang-based enterprise e-commerce and digital procurement platform, to acquire
| Target | Ningbo Xunxi Technology Co., Ltd. |
| Transaction | |
| Total Consideration | RMB 50,000,000 |
| Structure | RMB 40M cash to exiting shareholders; RMB 10M in stock options to retained management |
| 2025 Revenue | RMB ~340,000,000 (audited) |
| 2025 Net Profit | RMB ~5,800,000 (audited) |
| Due Diligence | Global Law Firm; Beijing Dongshen CPA — no material risks identified |
| Status | Binding acquisition agreement signed; closing subject to customary conditions |
Xunxi was founded by a team of former senior executives from NetEase and Alibaba and has spent the past several years building what is now a scaled enterprise procurement and employee benefits platform. Its online marketplace lists more than 250,000 SKUs and serves close to 200 institutional clients — banks, government agencies, schools, and large corporates — that rely on the platform to manage employee benefits spending, marketing procurement, and bulk purchasing. The registered member base has grown to over 2 million users. Xunxi's 2025 audited financials reflect a business generating real revenue at scale: RMB 340 million in top-line and RMB 5.8 million in net profit, with due diligence conducted by Global Law Firm and Beijing Dongshen CPA returning no findings that would impede closing.
The strategic logic is straightforward. Yimutian has spent over a decade digitizing China's agricultural supply chain and building the infrastructure to move goods efficiently from farm to buyer. Xunxi operates on the demand side of a related problem: it aggregates institutional purchasing power and routes it through a managed digital channel. Bringing the two together creates a more complete picture of China's B2B commerce stack — sourcing and supply chain on one side, enterprise procurement and distribution on the other. "Xunxi has built exactly the kind of demand-side platform that complements what we've been building on the supply side for years," said Jinhong Deng, Chief Executive Officer of Yimutian. "This is not a financial acquisition. We are buying a team, a client base, and a platform architecture that we believe will compound in value as we integrate it with our existing operations."
Post-closing, Xunxi's management and key employees will join Yimutian and operate the business as a dedicated unit. The transaction includes a multi-year earnout arrangement through 2028 that ties a meaningful portion of total consideration to Xunxi's audited net profit performance. For 2026, if Xunxi achieves audited net profit of RMB 15 million, RMB 22.5 million, or RMB 30 million, the earnout payout will equal 2x, 4x, or 6x of the respective net profit achieved. If 2026 net profit falls below RMB 12 million, Xunxi's founders are obligated to pay a cash compensation to the Company per the binding acquisition agreement. If 2026 net profit falls between RMB 12 million and RMB 15 million, no earnout award is triggered and no compensation is owed. Equivalent earnout mechanics apply for 2027 and 2028, with specific targets and multipliers to be finalized and disclosed in the Company's forthcoming SEC filings. The earnout structure is intentional — by making a significant portion of total transaction value contingent on post-closing performance, the Company and the sellers share both the risk and the reward of integration. Their continued involvement is central to the transaction thesis, and the structure reflects that.
The Company looks forward to providing further updates on the transaction and integration progress in connection with its upcoming SEC filings and financial results.
Forward-Looking Statements
This press release contains forward-looking statements. These statements are made pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, these forward-looking statements can be identified by terminology such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to,” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.
About Yimutian Inc.
Yimutian Inc, is a leading agricultural B2B platform in mainland China. Over a decade, the company has been dedicated to digitalizing China’s agricultural product supply chain infrastructure to streamline the agricultural product transaction process, and making it efficient, transparent, secure, and convenient.For more information, please visit https://ir.ymt.com/
About Xunxi Technology:
Ningbo Xunxi Technology Co., Ltd. is a technology-driven comprehensive e-commerce operation service provider. Founded by former executives of internet companies such as NetEase and Alibaba, the company focuses on providing integrated solutions for financial institutions, enterprises, and public institutions, including corporate procurement, employee benefits, and digital marketing. It possesses rich supply chain resources and capabilities in multi-platform development and operational services.
Investor & Media Contacts
Investor Relations: ir@ymt360.com | +86 10 5708 6561
Media: pr@ymt360.com
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