Securities Code: 301137 Securities Abbreviation: HAHUATONG Announcement No.: 2026-011
HAHUA HOLDING (CHANGZHOU) WELDING CO., LTD. Announcement on Using Temporarily Idle Own Funds and Idle Raised Funds for Cash Management
The Company and the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and contains no false representations, misleading statements, or material omissions.
HAHUA HOLDING (CHANGZHOU) WELDING CO., LTD. (hereinafter referred to as the "Company" or "HAHUA HOLDING") held the fifth meeting of the fifth Board of Directors on March 31, 2026, and reviewed and approved the "Proposal on Using Temporarily Idle Own Funds and Idle Raised Funds for Cash Management." It was agreed that, while ensuring that the raised fund investment projects are not affected and the company's normal production and operation are maintained, the company plans to use no more than RMB 20,000,000.00 (inclusive) of idle raised funds and no more than RMB 10,000,000.00 (inclusive) of idle own funds for cash management. The term of use shall be valid for 12 months from the date of approval by the shareholders' meeting. Within the above-mentioned amount and period, the funds can be used in a revolving manner. The sponsor has issued a verification opinion. This proposal still needs to be submitted for review at the 2025 Annual Shareholders' Meeting. The specific details are hereby announced as follows:
I. Basic Situation of Raised Funds
Upon approval by the China Securities Regulatory Commission's "Approval for the Registration of the Initial Public Offering of Shares of HAHUA HOLDING (CHANGZHOU) WELDING CO., LTD." (Document No. [2022] 128) and with the consent of the Shenzhen Stock Exchange, the Company issued 45.4534 million shares of RMB ordinary shares (A shares) at an issue price of RMB 15.37 per share. The total raised funds amounted to RMB 698,618,758.00. After deducting issuance expenses (excluding VAT) of RMB 57,639,206.34, the net raised funds amounted to RMB 640,979,551.66. Zhonghui Certified Public Accountants (Special General Partnership) audited the capital verification of the initial public offering of shares on March 16, 2022, and issued the "Capital Verification Report" ([Zhonghui Hui Yan [2022] No. 0867]). The Company has managed the raised funds in a special account as required, and has signed the "Tripartite Supervision Agreement for Raised Funds" with the sponsor and the bank supervising the special account for raised funds. Currently, the Company is proceeding with the construction of raised fund investment projects in an orderly manner according to the usage of raised funds.
The funds raised from the initial public offering of shares, after deducting issuance expenses, will be used for the following projects: Unit: Ten Thousand Yuan
| No. | Project Name | Investment Amount | Amount of Raised Funds to be Used |
|---|---|---|---|
| 1 | High-Quality Welding Wire Intelligent Production Line Construction Project | 41,284.00 | 41,284.00 |
| 2 | Special High-Alloy Welding Wire Preparation Project | 10,000.00 | 10,000.00 |
| 3 | Engineering Technology Center Construction Project | 5,000.00 | 5,000.00 |
| Total | 56,284.00 | 56,284.00 |
Note 1: The "Special High-Alloy Welding Wire Preparation Project" and the "Engineering Technology Center Construction Project" have been completed and closed. For details, please refer to the "Announcement on Closing Some Raised Fund Investment Projects and Permanently Supplementing Working Capital with Surplus Raised Funds" disclosed by the Company on the Juchao Information Network (www.cninfo.com.cn) on December 13, 2025 (Announcement No.: 2025-069).
Note 2: Due to the construction and settlement cycle required for the raised fund investment projects, some of the raised funds will be temporarily idle in the short term.