Announcement of Ningxia Zhongyin Rongye Co., Ltd. on Changing the Purpose of Repurchased Shares to Cancellation
The company and all members of the board of directors guarantee that the content of this information disclosure is true, accurate, complete, and does not contain any false records, misleading statements, or major omissions.
Ningxia Zhongyin Rongye Co., Ltd. (hereinafter referred to as "the Company") held the sixth meeting of the ninth board of directors and the fourth meeting of the ninth supervisory board on July 5, 2024, where it reviewed and approved the proposal to change the purpose of repurchased shares to cancellation. Due to the Company's failure to implement the employee stock ownership plan or equity incentive for the remaining 15,589,115 shares repurchased in 2021 within the stipulated time, the Company intends to change the purpose of these remaining shares from "for implementing equity incentives or employee stock ownership plans" to "for cancellation and reduction of registered capital." The specific situation is as follows:
1. Basic Information on the Repurchased Shares Whose Purpose is to be Changed
On January 4, 2021, the Company held the twenty-third meeting of the seventh board of directors, where it reviewed and approved the proposal for repurchasing the Company's shares through centralized bidding on the Shenzhen Stock Exchange. The total amount for repurchasing shares was set to be no less than RMB 50 million and no more than RMB 100 million, with the actual amount based on the funds actually used. The repurchase price was not to exceed RMB 1.68 per share (inclusive), and the repurchase period was set to be no more than 12 months from the date of board approval. The repurchased shares were intended for implementing equity incentive plans or employee stock ownership plans.