Announcement on Anticipated Triggering of Downward Adjustment of Conversion Price

Lei Zhi Group

Announcement on Anticipated Triggering of Downward Adjustment of Conversion Price

Stock Code: 002398

Bond Code: 127062

Stock Abbreviation: Lei Zhi Group

Bond Abbreviation: Lei Zhi Convertible Bond

Announcement No.: 2026-073

Lei Zhi Holdings Group Co., Ltd.

The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the announcement content, and that there are no false records, misleading statements, or major omissions.

Special Reminder:

1. Stock Code: 002398 Stock Abbreviation: Lei Zhi Group

2. Bond Code: 127062 Bond Abbreviation: Lei Zhi Convertible Bond

3. Conversion Price: RMB 7.56 per share

4. Conversion Period: October 27, 2022, to April 20, 2028

5. From July 9, 2026, to July 22, 2026, the company's stock price has had 10 trading days where the closing price was lower than 85% of the current conversion price for 30 consecutive trading days. It is anticipated that the condition for a downward adjustment of the conversion price will be triggered. If the condition for adjusting the conversion price is triggered, the company will promptly fulfill the subsequent deliberation procedures and information disclosure obligations in accordance with the relevant regulations of the Shenzhen Stock Exchange and the provisions of the Bond Issuance Prospectus.

I. Issuance and Listing of Convertible Corporate Bonds

(I) Convertible Bond Issuance

Approved by the China Securities Regulatory Commission's Approval [2022] No. 409, "Approval for the Public Offering of Convertible Corporate Bonds by Lei Zhi Holdings Group Co., Ltd.," the company was approved to issue 3,963,000 convertible corporate bonds, with a total raised capital of RMB 396,300,000.00. After deducting issuance expenses totaling RMB 5,839,448.12 (excluding VAT), the net amount of funds actually raised is RMB 390,460,551.88.

(II) Convertible Bond Listing

The company's convertible corporate bonds were listed and traded on the Shenzhen Stock Exchange starting from May 20, 2022, with the bond code "127062" and the bond abbreviation "Lei Zhi Convertible Bond," as approved by the Shenzhen Stock Exchange.

(III) Convertible Bond Conversion Period

The conversion period for the convertible bonds issued by the company starts from the first trading day six months after the end of the convertible bond issuance date (April 27, 2022, T+4 day) until the maturity date of the convertible bonds, which is from October 27, 2022, to April 20, 2028.

(IV) Adjustment of Convertible Bond Conversion Price

1. In accordance with the resolution of the 2021 Annual General Meeting of Shareholders, the company implemented its 2021 annual equity distribution plan. Based on the total share capital of 720,230,406 shares as of April 28, 2022, a cash dividend of RMB 0.80 (tax included) per 10 shares was distributed to all shareholders. No bonus shares were issued, nor was there any capital reserve to increase share capital. In accordance with the relevant clauses of the "Prospectus for the Public Offering of Convertible Corporate Bonds by Lei Zhi Holdings Group Co., Ltd." and the relevant regulations of the China Securities Regulatory Commission on the public offering of convertible corporate bonds, the conversion price of "Lei Zhi Convertible Bond" was adjusted to RMB 7.74 per share, effective from June 8, 2022. For details, please refer to the "Announcement on the Adjustment of the Conversion Price of Lei Zhi Convertible Bond" (Announcement No.: 2022-049) published by the company on Juchao Information Network (www.cninfo.com.cn) on June 8, 2022.