Announcement on the Adjustment of the Conversion Price of Convertible Corporate Bonds
Special Reminder:
- Conversion price of "Yanpai Convertible Bonds" before adjustment: 7.27 CNY/share
- Conversion price of "Yanpai Convertible Bonds" after adjustment: 7.22 CNY/share
- Effective date of conversion price adjustment: June 8, 2026
I. Relevant Provisions on the Adjustment of the Conversion Price of "Yanpai Convertible Bonds"
Zhejiang Yanpai Filtration Technology Co., Ltd. (hereinafter referred to as "the Company") issued 4,678,889 convertible corporate bonds to unspecified objects on July 26, 2024 (Bond abbreviation: Yanpai Convertible Bonds; Bond code: 123243). According to the issuance plan disclosed in the "Prospectus for the Issuance of Convertible Corporate Bonds by Zhejiang Yanpai Filtration Technology Co., Ltd." and relevant regulations from the China Securities Regulatory Commission regarding the issuance of convertible corporate bonds, the adjustment method and calculation formula for the conversion price of the issued convertible corporate bonds are as follows:
"When the Company undergoes rights issues, additional share issuances, stock dividends, cash dividends, splits, or other events causing changes in the Company's shares (excluding increases in share capital due to the conversion of the issued convertible corporate bonds), the conversion price will be adjusted according to the following formulas (retaining two decimal places, rounding the last digit):
- For stock dividends or capital increases: P1 = P0 / (1 + n);
- For new share issuances or rights issues: P1 = (P0 + A × k) / (1 + k);
- If both occur simultaneously: P1 = (P0 + A × k) / (1 + n + k);
- For cash dividends: P1 = P0 - D;
- If all three occur simultaneously: P1 = (P0 - D + A × k) / (1 + n + k);
Where:
P0 = conversion price before adjustment,
n = stock dividend or capital increase rate,
k = new share issuance or rights issue rate,
A = price of new shares or rights issue,
D = cash dividend per share,
P1 = conversion price after adjustment.