Securities Code: 002427 Securities Abbreviation: Youfu Shares Announcement Number: 2026-020
Zhejiang Youfu High-Tech Fiber Co., Ltd. Announcement on Progress of Litigation Matters
The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and are free from any false records, misleading statements, or significant omissions.
Zhejiang Youfu High-Tech Fiber Co., Ltd. (hereinafter referred to as the "Company" or "Youfu Shares" or "Defendant") recently received a civil judgment (2025) ZHE 0503 Civil First Instance No. 1511 from the Huzhou Nanxun District People's Court. The relevant details are hereby announced as follows:
I. Basic Situation of the Litigation
Mr. Yin (hereinafter referred to as the "Plaintiff") and the Defendant are both shareholders of the Company's holding subsidiary, Huzhou Nanxun Taihe Paper Co., Ltd. (hereinafter referred to as "Taihe Paper"). The Plaintiff holds 30% of Taihe Paper's shares, and the Defendant holds 70% of Taihe Paper's shares. In 2024, the Plaintiff applied to the Huzhou Nanxun District People's Court for shareholder information rights enforcement. According to Taihe Paper's 2023 annual audit report and the sales data from the execution inspection, the auditor's report shows that Youfu Shares, as the controlling shareholder of Taihe Paper, sold all of Taihe Paper's products to itself and its wholly-owned subsidiary in 2023. The calculation shows that the total sales price of this related-party transaction was RMB 35,284,545.34 lower than the market sales price, causing losses to Taihe Paper. To protect the rights and interests of Taihe Paper and other shareholders, a lawsuit was filed with the Huzhou Nanxun District People's Court. For specific details, please refer to the "Announcement on Litigation Involvement" (Announcement Number: 2025-007) published by the Company on the designated information disclosure media on March 20, 2025.