The board of directors of Zall Group Ltd. announced that, based on the current information available to the management, and the preliminary review and assessment of the latest unaudited consolidated management accounts of the Group for the six months ended 30 June 2017, it is expected that the Group's consolidated revenue for the six months ended 30 June 2017 will show a substantial increase from that for the six months ended 30 June 2016. In this regard, it is expected that the Group's consolidated revenue for the six months ended 30 June 2017 based on continuing operations will increase by over 250% to 300% from that of RMB 626,072,000 for the six months ended 30 June 2016. This growth was mainly due to an increase in the Group's equity interest in Zall Heng Supply Chain Management (Wuhan) Co. Ltd. and the first completion of the acquisition of a majority equity interest in Shenzhen Sinoagri E-commerce Co. Ltd., as further detailed below, which resulted in the consolidation of the respective financial results of Wuhan Zall Heng and Shenzhen Sinoagri into the financial results of the Group, and the rapid development of its supply chain business, trading and related value-added services which resulted in a substantial increase in the revenue of the Group's consolidated businesses, and also led to the changes to the income portfolio of the Group. Given the characteristics of initial development of the Supply Chain and Trading Business, it is expected to generate higher revenue but lower profit margin. It is also expected that the Supply Chain and Trading Business will have no significant impact on the Group's consolidated profit for the six months ended 30 June 2017. As part of the Group's business development strategy, in May 2017, the Group increased its equity interest in Wuhan Zall Heng, a joint venture of the Group, from 60% to 65% and revised certain contractual terms of the joint venture arrangement, as a result of which Wuhan Zall Heng became a non-wholly owned subsidiary of the Company; and as announced by the Company on 13 November 2016, the Group agreed to acquire up to 60.49% equity interest in Shenzhen Sinoagri, of which the first completion with respect to the acquisition of a 50.6% equity in Shenzhen Sinoagri interest took place on 28 June 2017. As the non-wholly owned subsidiaries of the Group, the respective financial results of Wuhan Zall Heng and Shenzhen Sinoagri (and their subsidiaries) would be consolidated into the Group's financial results with effect from the respective dates of the aforesaid increase in the Group's equity interest in Wuhan Zall Heng and the first completion of the aforesaid acquisition of the equity interest in Shenzhen Sinoagri.