Shenzhen Tellus Holding Co., Ltd.

Company Profile

(I) Location advantage The Company, located in Shuibei, the core cluster area of Shenzhen's jewelry industry, is the largest owner of Tellus-Gmond Gold Jewelry Industrial Park. Shuibei accounts for more than 75% of China's gold and jewelry market share. Within the one-square-kilometer core area of the Shuibei market, tens of thousands of gold and jewelry enterprises are gathered. According to the data from the Shenzhen Gold & Jewelry Association, the annual physical pick-up volume of gold and platinum in Shenzhen accounts for about 70% of the physical sales volume at Shanghai Gold Exchange, and the physical consumption of diamonds accounts for about 80% of the import value at Shanghai Diamond Exchange. In terms of brand concentration, Luohu District is home to over 40 leading jewelry enterprises and 29 "China Famous Trademarks" in the jewelry sector, accounting for 30% of the national total. The district has also successfully supported the stock exchange listings of jewelry companies, including Chow Tai Seng and DR Group. Shuibei has formed a complete industrial chain, covering design and R&D, production and manufacturing, exhibition and trading, brand operation, headquarters office operation, inspection and testing, and talent training. The location advantage of the Shuibei area is significant. The concentration of numerous jewelry suppliers and established businesses facilitates the Company's import-export operations and exhibition and marketing activities. The market influence and centralized trade information in Shuibei provide a favorable business environment and development platform, enabling the Company to promptly capture market feedback and respond quickly to market changes. Shenzhen's "20+8" Industrial Cluster Development Plan emphasizes the future focus on developing modern fashion industrial clusters. The government's strong support for the jewelry industry provides substantial backing for the Company, helping reduce operating costs, enhance profitability, and achieve sustainable development. (II) Resource advantage By leveraging its state-owned enterprise background and harnessing industrial synergies, the Company deeply integrates resources from both the supply and demand sides of the jewelry industry. This endows the Company with a certain advantage in coordinating upstream resources. The Company has established direct partnerships with domestic and international gold and jewelry suppliers and processors, engaging in collaborative discussions with organizations such as the Turkish Jewellery Exporters' Association, the Republic of Sakha (Yakutia) delegation from Russia, and Myanmar Gems and Pearl Enterprise to develop domestic and international exhibition and trading business. Through years of dedicated efforts, the Company has accumulated significant industry resources and influence. It maintains close collaborations with authoritative testing and appraisal institutions in the industry such as the National Gemstone Testing Center, National Center of Quality Supervision and Inspection on Gold and Silver Jewelry (Nanjing), National Center of Quality Supervision and Inspection on Gold and Silver Jewelry (Tianjin), and HJTC, actively participates in and organizes industry activities, and sets industry standards to continuously expand its industry reputation and impact. The group standard—Quality Evaluation of Seawater Pearls—jointly drafted by the Company passed the expert review on March 22, 2025, and was approved and released by the Shenzhen Standards Promotion Council in June 2025. The Company has deeply embedded itself in the supply chain business to offer professional full-industry supply chain services and has cooperated with renowned jewelry enterprises in the industry to further expand its business scale. The Company's property platforms have brought stable business revenue and cash flow, laying a solid foundation for the Company's long-term development. The Tellus Jewelry Building and the Tellus Gold and Diamond Building have been put into use one after another. They maintain a high occupancy rate. Furthermore, the Company plans to continuously unlock the commercial value of its traditional properties through quality upgrades and old property renewal initiatives. (III) Management advantage In terms of digitalization, the Company has achieved significant technological advancements. It has vigorously promoted the digital transformation of its trading platform, organized and prioritized functional modules, and continuously adjusted its construction strategy to respond promptly to changes and meet business needs. The Company has improved and enhanced the platform's capabilities in online transactions, data analysis, and intelligent supervision, gradually applying these features in its supply chain operations to effectively serve jewelry industry clients and support the growth of micro-, small-, and medium-sized enterprises (MSMEs) within the sector. In terms of risk control, the Company has formulated strict internal business control processes such as supplier access standards, a customer evaluation system, and a procurement price comparison system to realize multi-level risk control over capital, information, and logistics. At the same time, it has continuously optimized business processes and internal control systems during business operations, and carried out research and innovation on new categories and new business models under the premise of controllable risks. By leveraging information system development and system data analysis, the Company has enhanced its business risk early warning capabilities. In terms of internal management, the Company takes scientific management as the driving force and guarantee for development. From the perspective of promoting operation via management, it is business-oriented and combines its actual situation to introduce a leading business model, improve the 4S control system, consolidate a closed loop of strategic management, and smoothly implement its plans. In terms of talent development, the Company conducts an integrated "testing-training-practice" training mode for middle and senior management. With the mode focusing on accurate diagnosis, system empowerment, and practical transformation, it assists the management team in improving leadership and execution, thereby creating a strong management engine to support business strategies.