Important Notice:
- Vesting Date: June 8, 2026
- Number of Shares Vesting: 1,342,000 shares
- Number of Individuals Receiving Shares: 79 persons
- Source of Shares: Ordinary shares (A shares) issued by the company to the incentive recipients
- Listing and Trading Arrangement: No lock-up period is set after the vesting of the restricted shares.
Overview of the Implementation of the 2025 Restricted Stock Incentive Plan
Taixiang Co., Ltd. (hereinafter referred to as "the Company") held its fifth meeting of the fifth board of directors on May 21, 2026, where it approved the proposal regarding the achievement of the vesting conditions for the first vesting period of the 2025 Restricted Stock Incentive Plan. The board believes that the vesting conditions have been met. Recently, the Company has completed the registration of the restricted stock for the first vesting period.
(1) Incentive Method and Source of Shares
The incentive tool used in this plan is the second category of restricted stock, with the shares sourced from the company's directed issuance of A shares to the incentive recipients. The Company and all members of the board guarantee that the information disclosed is true, accurate, and complete, without any false records, misleading statements, or significant omissions.
(2) Number of Restricted Shares Granted
The plan intends to grant 3,405,000 (pre-adjustment) restricted shares to the incentive recipients, accounting for approximately 3.41% of the total share capital of 99,900,000 shares at the time of the plan's announcement.
(3) Validity Period, Grant Date, Vesting Arrangement, and Lock-up Period
- Validity Period: The plan is valid from the date of grant of the restricted shares until all granted shares vest or become void, not exceeding 60 months.
- Grant Date: May 16, 2025
- Vesting Arrangement: The restricted shares will vest in installments upon the recipients meeting the corresponding vesting conditions, with the vesting date being a trading day within the validity period, but not during the following periods:
- 15 days prior to the announcement of the annual or semi-annual report, or from the date of postponement of the announcement due to special reasons until the day before the announcement.
- 5 days prior to the announcement of quarterly reports, performance forecasts, or performance briefings.
- From the occurrence of significant events that may greatly affect the trading price of the company's stock and its derivatives until the legal disclosure date.
- Other periods as stipulated by the China Securities Regulatory Commission and the Shenzhen Stock Exchange.
The specific vesting periods and arrangements are as follows:
| Vesting Arrangement | Vesting Period | Percentage of Total Granted Shares |
|---|---|---|
| First Vesting Period | From the first trading day after 12 months from the grant date to the last trading day within 24 months from the grant date | 40% |
| Second Vesting Period | From the first trading day after 24 months from the grant date to the last trading day within 36 months from the grant date | 30% |
| Third Vesting Period | From the first trading day after 36 months from the grant date to the last trading day within 48 months from the grant date | 30% |
Restricted shares that do not meet the vesting conditions during the specified period will not vest or will be deferred to the next year, and will be rendered void according to the provisions of this incentive plan. Upon meeting the vesting conditions, the Company will handle the vesting of the restricted shares uniformly.
- Lock-up Period: There is no additional lock-up period set after the vesting of the restricted shares. The lock-up regulations will follow the Company Law, Securities Law, Interim Measures for the Administration of Share Reduction by Shareholders of Listed Companies, and relevant regulations.