Shaoxing Xingxin New Materials Co., Ltd. (hereinafter referred to as "the Company" or "this Company") guarantees that the content of this information disclosure is true, accurate, and complete, with no false records, misleading statements, or significant omissions.
On May 27, 2026, the Company held the sixteenth meeting of the third board of directors, which reviewed and approved the proposal regarding the expiration of the first lock-up period of the 2025 Employee Stock Ownership Plan and the unmet unlocking conditions. According to relevant laws, regulations, and the Company's management measures for the 2025 Employee Stock Ownership Plan, the first unlocking period of the 2025 Employee Stock Ownership Plan (hereinafter referred to as "this Employee Stock Ownership Plan") expired on May 27, 2026. Given that the Company's performance for 2025 did not meet the performance assessment indicators at the company level for the first unlocking period, the unlocking conditions were not fulfilled. The relevant matters are explained as follows:
I. Approval and Implementation of this Employee Stock Ownership Plan
(1) Approval of this Employee Stock Ownership Plan
The Company held the sixth meeting of the third board of directors and the fifth meeting of the third supervisory board on March 26, 2025, and convened the 2024 annual general meeting of shareholders on April 17, 2025, to review and approve the proposals regarding the "2025 Employee Stock Ownership Plan (Draft)" and its summary, the "Management Measures for the 2025 Employee Stock Ownership Plan," and the proposal to authorize the board of directors to handle matters related to the Company's 2025 Employee Stock Ownership Plan. The implementation of this Employee Stock Ownership Plan was approved. Specific details can be found in the announcements disclosed by the Company on March 27, 2025, and April 18, 2025, on the Giant Tide Information Network (www.cninfo.com.cn).
(2) Implementation of this Employee Stock Ownership Plan
On May 27, 2025, the Company received the "Securities Transfer Registration Confirmation" issued by the Shenzhen Branch of China Securities Depository and Clearing Co., Ltd. The 2,368,894 shares of the Company held in the "Shaoxing Xingxin New Materials Co., Ltd. Repurchase Special Securities Account" were transferred non-traditionally to the "Shaoxing Xingxin New Materials Co., Ltd. - 2025 Employee Stock Ownership Plan" special securities account at a price of 11.19 yuan/share on May 26, 2025. The number of transferred shares accounted for 1.92% of the Company's total share capital at that time. Specific details can be found in the announcement titled "Completion of Non-Traditional Transfer of Shares for the 2025 Employee Stock Ownership Plan and Completion of Share Repurchase Processing" disclosed by the Company on May 28, 2025 (Announcement No.: 2025-026).