Securities Code: 002431 Securities Abbreviation: Palm Shares Announcement Number: 2026-047 Palm Ecological Urban Development Co., Ltd. Special Report on the Storage and Use of Raised Funds for 2025 The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and that there are no false records, misleading statements, or significant omissions. In accordance with the "Guiding Opinions of the China Securities Regulatory Commission on the Supervision and Management of Raised Funds by Listed Companies" (No. 2), the "Shenzhen Stock Exchange Listed Company Self-Regulatory Management Guidelines No. 1 - Norms for the Operation of Main Board Listed Companies," and the "Shenzhen Stock Exchange Listed Company Self-Regulatory Management Guidelines No. 2 - Announcement Format," and the "Company's Management Measures for the Use of Raised Funds," this report details the storage and use of raised funds by Palm Ecological Urban Development Co., Ltd. (hereinafter referred to as the "Company") for the year 2025. I. Raised Funds from Non-Public Offering of Shares in 2015 (I) Basic情况 of Raised Funds
- Amount of Funds Actually Raised and Funds Received On April 5, 2017, with the approval of the China Securities Regulatory Commission's "Approval for the Non-Public Offering of Shares by Palm Ecological Urban Development Co., Ltd." (Zhengjian Permit [2017] No. 464), the Company was approved to issue 109,988,950 ordinary shares (A shares) to eight specific investors, including Xiang Shisong, Zheng Shilin, Caitong Fund Management Co., Ltd., Yin Hua Fund Management Co., Ltd., Huaxin Securities Co., Ltd., Beixin Ruifeng Fund Management Co., Ltd., Fortune Fund Management Co., Ltd., and Huatai Asset Management Co., Ltd., at an issue price of RMB 9.05 per share. The total amount of raised funds was RMB 995,399,997.50. After deducting issuance expenses of RMB 19,439,304.90, the net amount of raised funds was RMB 975,960,692.60. As of June 22, 2017, all funds raised from the aforementioned issuance had been received by the Company. This was verified by a capital verification report issued by Lixin Certified Public Accountants (Special General Partnership) on June 22, 2017, with the report number Xin Hui Shi Bao Zi [2017] No. ZC10577.
- Amount Used in Previous Years, Amount Used in the Current Year, and Balance at the End of the Reporting Period
| Time | Amount (RMB) |
|---|---|
| Total raised funds as of June 22, 2017 | 995,399,997.50 |
| Less: Issuance expenses paid | 18,739,304.90 |
| Net raised funds as of June 22, 2017 | 976,960,692.60 |
| Plus: Interest income from previous years | 7,389,013.08 |
| Less: Amount used in previous years | 257,273,159.80 |
| Balance of raised funds as of Dec 31, 2017 | 726,776,545.88 |
| Plus: Interest income less fees in the year | 13,119,728.73 |
| Less: Amount used in the year | 167,899,283.24 |
| Of which: Issuance expenses paid | 700,000.00 |
| Balance of raised funds as of Dec 31, 2018 | 571,996,991.37 |
| Plus: Interest income less fees in the year | 10,903,377.54 |
| Less: Amount used in the year | 148,063,667.20 |
| Balance of raised funds as of Dec 31, 2019 | 434,836,701.71 |
| Plus: Interest income less fees in the year | 3,012,099.69 |
| Less: Amount used in the year | 95,260,658.24 |
| Balance of raised funds as of Dec 31, 2020 | 342,588,143.16 |
| Plus: Interest income less fees in the year | 34,185.57 |
| Less: Amount used in the year | 103,665,138.21 |
| Balance of raised funds as of Dec 31, 2021 | 238,957,190.52 |
| Plus: Interest income less fees in the year | 17,474.39 |
| Less: Amount used in the year | 24,475,160.00 |
| Balance of raised funds as of Dec 31, 2022 | 214,499,504.91 |
| Plus: Interest income less fees in the year | 27,532.13 |
| Less: Amount used in the year | 24,427,486.21 |
| Balance of raised funds as of Dec 31, 2023 | 190,099,550.83 |
| Plus: Interest income less fees in the year | 1,199.58 |
| Less: Amount used in the year | 12,660.06 |
| Balance of raised funds as of Dec 31, 2024 | 190,088,090.35 |
| Plus: Interest income less fees for 2025 | -144.48 |
| Less: Amount used in 2025 | 0 |
| Balance of raised funds as of Dec 31, 2025 | 190,087,945.87 |
| The entire amount of raised funds was used for the Shejiang District Service Supporting Project and the Meixian District Urban Expansion and Quality Improvement PPP Project. As of December 31, 2025, the Company had cumulatively used RMB 820,377,212.96. The net interest income less fees generated by the raised funds account was RMB 34,504,466.23. As of December 31, 2025, the balance of raised funds in the special account was RMB 87,945.87, and RMB 190,000,000.00 was temporarily used for working capital, totaling RMB 190,087,945.87. | |
| (II) Storage and Management of Raised Funds |
- Management of Raised Funds To standardize the management and use of raised funds and protect investors' rights and interests, the Company, in accordance with the "Guiding Opinions of the China Securities Regulatory Commission on the Supervision and Management of Raised Funds by Listed Companies" (No. 2), the "Shenzhen Stock Exchange Listed Company Self-Regulatory Management Guidelines No. 1 - Norms for the Operation of Main Board Listed Companies," and other relevant laws and regulations, as well as the "Company Articles of Association," has formulated the "Management Measures for the Use of Raised Funds by Palm Ecological Urban Development Co., Ltd." based on the actual situation. These measures specify the storage and use of raised funds. In the actual operation, the Company implements special account storage for raised funds, and the storage, use, and related management of raised funds comply with the "Management Measures for the Use of Raised Funds by Palm Ecological Urban Development Co., Ltd." The Company's audit department supervises the progress of the raised fund projects and conducts regular inspections of the use of raised funds.
- Special Account Storage of Raised Funds The Company has opened a special account for raised funds at the Guangzhou Branch of China Minsheng Bank (Account Number: 699965679). In June 2017, the Company, the Guangzhou Branch of China Minsheng Bank, and Anxin Securities Co., Ltd. signed a "Tripartite Supervisory Agreement for Raised Funds" in accordance with the "Shenzhen Stock Exchange Small and Medium Enterprise Board Listed Company Norms for Operation Guidelines." This agreement stipulates that the special account for raised funds shall only be used for the storage and use of raised funds and shall not be used for other purposes. In July 2017, as the investment project of this non-public offering was to be implemented by the project company Meizhou Meixian District Zongyuan Project Investment Management Co., Ltd., the Company, the Huangpi Branch of Guangzhou Rural Commercial Bank Co., Ltd., Anxin Securities Co., Ltd., and Meizhou Meixian District Zongyuan Project Investment Management Co., Ltd. signed a "Quadripartite Supervisory Agreement for Raised Funds" in accordance with the "Shenzhen Stock Exchange Small and Medium Enterprise Board Listed Company Norms for Operation Guidelines." This agreement stipulates that the special account for raised funds shall only be used for the storage and use of raised funds and shall not be used for other purposes. The Company appointed Zhongyuan Securities Co., Ltd. as the sponsor and lead underwriter for the Company's 2020 non-public offering of shares. Due to the change in the sponsor, in April 2021, the Company, the Guangzhou Branch of China Minsheng Bank, and Zhongyuan Securities Co., Ltd. re-signed the "Tripartite Supervisory Agreement for Raised Funds." The Company, the Huangpi Branch of Guangzhou Rural Commercial Bank Co., Ltd., and Meizhou Meixian District Zongyuan Project Investment Management Co., Ltd. re-signed the "Quadripartite Supervisory Agreement for Raised Funds." The supervisory agreements do not have significant differences from the Shenzhen Stock Exchange's template for raised fund supervisory agreements, and the tripartite and quadripartite supervisory agreements are being performed normally. As of December 31, 2025, excluding the RMB 190,000,000.00 temporarily used for working capital, the balance of the raised funds special account is as follows: