Beijing Weitongli Electric Co., Ltd. (hereinafter referred to as "Weitongli" or "the Company") held the 20th meeting of the first board of directors on June 1, 2026, and approved the proposal on using raised funds to provide loans to wholly-owned subsidiaries for investment projects. The Company will provide loans to Zhuzhou Weitongli Electric Co., Ltd. (hereinafter referred to as "Zhuzhou Weitongli"), Wuxi Weitongli Electric Co., Ltd. (hereinafter referred to as "Wuxi Weitongli"), and Wuxi Weitongli New Energy Electric Co., Ltd. (hereinafter referred to as "Wuxi New Energy") to implement investment projects. This loan matter is within the board's approval authority and does not require submission for shareholder approval. The specific circumstances are announced as follows:
I. Basic Situation of Raised Funds
According to the approval issued by the China Securities Regulatory Commission regarding the initial public offering of shares by Beijing Weitongli Electric Co., Ltd. (Zheng Jian Xu Ke [2026] No. 198), the Company issued 62,333,334 ordinary shares at a price of RMB 30.38 per share, raising a total of RMB 1,893.6867 million. After deducting issuance expenses of RMB 166.9911 million (excluding VAT), the net amount raised is RMB 1,726.6956 million. The raised funds have been verified by Tianjian Accounting Firm (Special General Partnership), which issued a verification report (Tianjian Yan [2026] No. 133). To standardize the management of raised funds and protect the legitimate rights and interests of investors, the Company and its subsidiaries have established dedicated accounts for the management of raised funds and signed a regulatory agreement with the sponsor and the bank where the dedicated account is opened.
II. Investment Project Situation of Raised Funds
According to the prospectus for the initial public offering and listing on the main board of Beijing Weitongli Electric Co., Ltd., the investment projects and the planned use of raised funds are as follows: