Announcement on Major Arbitration
The company and its board of directors guarantee the content of the information disclosure is true, accurate, and complete, and contains no false records, misleading statements, or major omissions.
Special Note:
Arbitration Stage: Arbitration Award
Party Status of Listed Company: Applicant
Amount Involved: RMB 8,051.07 million
Impact on Company's Profit and Loss: The final execution result of this arbitration case is uncertain. The impact on the company's profit for 2026 and subsequent periods cannot be accurately determined at present.
Recently, Chinese All-Digital Group Co., Ltd. (hereinafter referred to as "Chinese All-Digital" or the "Company") received the "Arbitration Award" ([2026] China CIETAC Beijing Arbitration No. 1537) from the China International Economic and Trade Arbitration Commission (CIETAC), the details of which are as follows:
I. Basic Situation of Acceptance of This Major Arbitration Matter
On December 22, 2025, the Company received the "Arbitration Notice for Dispute over Capital Increase, Shareholder and Repurchase Agreement of A Company" (DC20252583) from CIETAC ([2025] China CIETAC Beijing Arbitration No. 088511), which formally accepted the Company's share repurchase dispute case against A Company. Applicant: Chinese All-Digital Group Co., Ltd.; First Respondent: A Company, Second Respondent: Mr. Zhang, Third Respondent: Mr. Wang, Fourth Respondent: Ms. Zhao.
II. Basic Situation of This Case
- Facts and Reasons
On September 29, 2021, the Company and three other investors signed the "Capital Increase Agreement for A Company" as capital contributors with A Company, Mr. Zhang, Mr. Wang, and Ms. Zhao, agreeing that the Company would subscribe for equity in A Company with RMB 50 million. On the same day, the parties jointly signed the "Shareholder Agreement."
On March 31, 2023, A Company failed to achieve public listing and issuance as stipulated in the "Shareholder Agreement," triggering the repurchase condition. On October 19, 2023, the Company sent an email to A Company and Mr. Zhang, the "Notice of Demand for Performance of Repurchase Obligation," stating: "Based on the fulfillment of the repurchase event conditions, Chinese All-Digital hereby formally requests A Company to perform its repurchase obligations, and at the same time requests Mr. Zhang to fulfill his supplementary payment obligations, and to pay the full repurchase price to the Company by October 31, 2023."