Announcement on Early Redemption of "Xinfeng Convertible Bonds"
Sangfor Technologies Inc. and all members of the board guarantee that the information disclosed is true, accurate, and complete, without false records, misleading statements, or significant omissions.
Important Notice:
- Redemption price of "Xinfeng Convertible Bonds": 100.51 CNY per bond (including interest and tax).
- Last trading day for convertible bonds: March 12, 2026.
- Redemption date for convertible bonds: March 17, 2026.
- Last day for conversion of convertible bonds: March 17, 2026.
- Date for issuer's redemption funds to be credited: March 20, 2026.
- Date for investors to receive redemption funds: March 24, 2026.
- Redemption type: Full redemption.
- As of the close of trading on March 16, 2026, any "Xinfeng Convertible Bonds" that have not been converted will be forcibly redeemed. After this redemption, "Xinfeng Convertible Bonds" will be delisted from the Shenzhen Stock Exchange. Bondholders are reminded to convert their bonds within the specified period.
- If bondholders have "Xinfeng Convertible Bonds" that are pledged or frozen, it is recommended to lift the pledge or freeze before the last conversion date to avoid being redeemed due to inability to convert.
- Risk warning: Any "Xinfeng Convertible Bonds" that remain unconverted after the close of trading on March 16, 2026, will be forcibly redeemed at the price of 100.51 CNY per bond. Given the significant difference between the current secondary market price of "Xinfeng Convertible Bonds" and the redemption price, bondholders are reminded to convert their bonds within the deadline to avoid potential losses.
Sangfor Technologies Inc. (hereinafter referred to as "the Company") stock has shown that from January 12, 2026, to February 11, 2026, the closing price has not been lower than 130% of the current conversion price of "Xinfeng Convertible Bonds" (110.93 CNY per share) for 15 out of 30 consecutive trading days, triggering the conditional redemption clause in the "Sangfor Technologies Inc. Convertible Bond Prospectus" (hereinafter referred to as "the Prospectus"). The Company held the 36th meeting of the third board of directors on February 11, 2026, and approved the proposal for the early redemption of "Xinfeng Convertible Bonds." Considering the current market and the Company's actual situation, to reduce financial costs and subsequent interest expenses, the board of directors has decided to exercise the early redemption rights of "Xinfeng Convertible Bonds" and authorized the management to handle all matters related to the redemption.
I. Basic Information of Convertible Bonds
(1) Issuance and Listing of Convertible Bonds
With the approval of the China Securities Regulatory Commission regarding the registration of Sangfor Technologies Inc. for the issuance of convertible bonds (Approval No. [2023] 1428), the Company issued 12,147,560 convertible bonds (hereinafter referred to as "convertible bonds" or "Xinfeng Convertible Bonds") on July 27, 2023, with a face value of 100 CNY each, totaling 1,214,756,000 CNY. The convertible bonds have been listed on the Shenzhen Stock Exchange since August 18, 2023, under the name "Xinfeng Convertible Bonds" and bond code "123210."
(2) Conversion Period of Convertible Bonds
The conversion period for these convertible bonds starts from the first trading day after six months from the end of the issuance (February 2, 2024) until the maturity date of the convertible bonds (July 26, 2029).