Cangzhou Mingzhu Plastic Co., Ltd.
2026 Annual Report on the Feasibility Analysis of Raised Funds for Issuing A Shares to Specific Objects (Revised Draft)
June 2026
I. Use of Raised Funds Plan
The total amount of raised funds for this issuance of shares to specific objects shall not exceed RMB 140,000,000.00 (inclusive of the principal amount), and after deducting issuance expenses, it is intended for the following project:
| Serial No. | Project Name | Amount of Raised Funds Intended for Investment (RMB 10,000) |
|---|---|---|
| 1 | Supplement Working Capital | 140,000.00 |
| Total | 140,000.00 |
II. Analysis of the Necessity and Feasibility of Issuing Shares to Specific Objects
(I) Background of Issuing Shares to Specific Objects
- Responding to National Policies, Deeply Implementing Guangzhou's Core Positioning as a "National Advanced Manufacturing Base," and Accelerating the Improvement of Guangzhou State-owned Assets' Industrial Chain Layout, Focusing on Building a "3+5+X" Strategic Emerging Industrial System In October 2025, the "15th Five-Year Plan" from the Fourth Plenary Session of the 20th Central Committee of the Communist Party of China proposed to "maintain a reasonable proportion of manufacturing and build a modern industrial system with advanced manufacturing as the backbone." In September 2024, the State Council approved the "Guangzhou Spatial Planning Master Plan (2021-2035)," which endowed Guangzhou with the core functional positioning of a "National Advanced Manufacturing Base," explicitly requiring the improvement of the modern industrial system, the transformation and upgrading of traditional industries, the cultivation and expansion of emerging industries, and the layout and construction of future industries, forming advanced manufacturing clusters with complete industrial chains, strong radiation capacity, and international competitiveness.
This issuance of shares to Guangzhou Light Industry is conducive to consolidating Guangzhou Light Industry's control over Cangzhou Mingzhu. It will assist Guangzhou State-owned Assets in using Cangzhou Mingzhu's lithium battery diaphragm and BOPA film businesses as entry points to rapidly improve the industrial chain layout of new energy and new materials, achieve the strategic goal of "strengthening and supplementing the chain," and focus on building a "3+5+X" strategic emerging industrial system.
- Industrial Policies Create a Favorable Development Environment for the Lithium Battery Diaphragm Industry, and Steady Growth in Downstream Lithium Battery Demand Drives the Continuous Expansion of the Lithium Battery Diaphragm Industry The global energy structure transformation is accelerating. As low-carbon energy becomes a consensus, more and more countries are actively introducing policies to promote the development of green and clean energy industries. Lithium batteries have advantages such as good safety performance, high energy density, good cycle performance, no memory effect, and being green and pollution-free, making them the preferred choice for governments worldwide to support and prioritize the development of new energy industries, thus laying a solid foundation for the development of the lithium battery diaphragm industry, a core key material in the lithium battery industry chain.
China has successively introduced a series of industrial policies related to the entire lithium battery industry chain, such as the "Action Plan for Carbon Peaking by 2030," the "New Energy Vehicle Industry Development Plan (2021-2035)," and the "Guiding Opinions on Accelerating the Development of New Energy Storage," which have created a favorable policy environment for the development of the lithium battery diaphragm industry.