This asset appraisal report is prepared in accordance with Chinese asset appraisal standards.
Beijing Zhongtianhua Asset Appraisal Co., Ltd.
August 5, 2026
Asset Appraisal Report on the Total Shareholder Equity Value of Dongguan Qinding Hardware Products Co., Ltd. Involved in the Proposed Acquisition of Equity in Dongguan Qinding Hardware Products Co., Ltd. by Henan Kaiwang Electronic Technology Co., Ltd.
Zhongtianhua Appraisal Report No. [2026] 10566
[Chart: Appraisal Report Table of Contents]
Statement
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This asset appraisal report is prepared in accordance with the Basic Standards for Asset Appraisal issued by the Ministry of Finance and the Asset Appraisal Practice Standards and Code of Ethics issued by the China Appraisal Society.
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The client or other users of the asset appraisal report shall use the report in accordance with laws, administrative regulations, and the scope of use stated herein. The appraisal institution and appraisers shall not be held liable if the client or other users violate these provisions. This report is intended solely for the client, other users specified in the appraisal engagement contract, and those stipulated by law. No other organization or individual may be a user of this report. Users should correctly understand the appraisal conclusion; it is not equivalent to the realizable price of the appraised object and should not be considered a guarantee of such price.
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The appraisal institution and appraisers adhere to laws, administrative regulations, and appraisal standards, upholding the principles of independence, objectivity, and fairness, and assume legal responsibility for the issued report.
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The list of assets and liabilities involved in the appraisal is declared by the client and the appraised entity, and confirmed by their signatures, seals, or other legally permitted methods. The client and other relevant parties are responsible for the authenticity, completeness, and legality of the provided materials.
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The appraisal institution and appraisers have no existing or expected interest in the appraised object or the relevant parties, and hold no bias toward them.
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Appraisers have conducted on-site investigations of the appraised object and its assets, paid necessary attention to their legal ownership status, verified relevant documents, disclosed discovered issues, and requested the client to perfect property rights to meet the requirements for issuing this report.
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The analysis, judgments, and results in this report are subject to the assumptions and limiting conditions stated herein. Users should fully consider these factors and their impact on the appraisal conclusion.
Asset Appraisal Report Summary
Zhongtianhua Appraisal Report No. (2026) 10566
Beijing Zhongtianhua Asset Appraisal Co., Ltd. was engaged by Henan Kaiwang Electronic Technology Co., Ltd. to evaluate the total shareholder equity value of Dongguan Qinding Hardware Products Co., Ltd. in connection with the proposed acquisition of equity by Henan Kaiwang.
The appraisal object is the total shareholder equity value of Dongguan Qinding Hardware Products Co., Ltd. The appraisal scope includes all assets and related liabilities of the company as of the appraisal base date, April 30, 2026. The value type is market value.
The appraisal was conducted based on the premises of continuous use and an open market. Both the asset-based approach and the income approach were applied.
Appraisal Conclusions:
Asset-based approach results: The book value of total assets is 150.5869 million RMB, total liabilities 77.0908 million RMB, and net assets 73.4960 million RMB. The appraised total asset value is 155.0641 million RMB (appreciation of 4.4772 million RMB, 2.97% increase). The appraised total liability value is 77.0908 million RMB (no change). The appraised net asset value is 77.9732 million RMB (appreciation of 4.4772 million RMB, 6.09% increase).
Income approach results: The appraised value of total shareholder equity is 358.0572 million RMB, an appreciation of 284.5612 million RMB, with an appreciation rate of 387.18%.