Stock Code: 300355 Stock Abbreviation: Mengcao Ecology Announcement No.: 2026-018 Mengcao Ecology Environment (Group) Co., Ltd. Announcement on the Progress of Subsidiary Trust Product Matters
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 material omissions.
Risk Warning:
- Shaanxi Qin Cao Natural Ecological Technology Co., Ltd. (hereinafter referred to as "Qin Cao Natural") and Shaanxi Qin Cao Ecological Environment Technology Co., Ltd. (hereinafter referred to as "Qin Cao Ecology") have received the entire property share of the target company, Xi'an Fengdong Modern Urban Development Investment Partnership (Limited Partnership) (hereinafter referred to as "Target Company"), according to the "Notice of Trust Property Status Distribution". Simultaneously, Qin Cao Natural and Qin Cao Ecology will transfer the entire property share of the Target Company to Xi'an Fengdong Holdings Co., Ltd. (hereinafter referred to as "Fengdong Holdings").
- The entire payment obligation of Fengdong Holdings to Qin Cao Natural and Qin Cao Ecology upon maturity will be jointly and severally guaranteed by Xi'an Fengdong Urban Development Co., Ltd. (hereinafter referred to as "Fengdong Development").
I. Overview On October 13, 2023, Mengcao Ecology Environment (Group) Co., Ltd. (hereinafter referred to as the "Company") held the twelfth meeting of the fifth Board of Directors, which deliberated and approved the "Proposal on Subsidiaries Using Own Funds to Purchase Trust Products". It was agreed that subsidiaries Qin Cao Natural and Qin Cao Ecology would use their own funds not exceeding RMB 198 million to subscribe for the trust product "Shaanxi Guotou Fengdong New City Urban Development Fund Collective Fund Trust Plan" (hereinafter referred to as the "Trust Plan") issued by Shaanxi Province International Trust Co., Ltd. (hereinafter referred to as "Shaanxi Guotou International"). For details, please refer to the "Announcement on Subsidiaries Qin Cao Natural and Qin Cao Ecology Using Own Funds to Purchase Trust Products" (Announcement No.: 2023-051). On October 23, 2025, Qin Cao Ecology redeemed the first trust product, recovering principal of RMB 63 million and earning investment income of RMB 7.1802 million. For details, please refer to the "Announcement on Subsidiary's Trust Product Redemption Upon Maturity" (Announcement No.: 2025-079). On February 4, 2026, Qin Cao Natural and Qin Cao Ecology received the "Notice of Trust Property Status Distribution" issued by Shaanxi Guotou International. For details, please refer to the "Announcement on the Progress of Subsidiary's Partial Trust Product Matters" (Announcement No.: 2026-008).