Wuxi Jinyang Precision Manufacturing Co., Ltd. announces the following regarding the capital increase and acquisition of non-related party investment shares in a jointly invested associate company:
The company and all members of the board guarantee that the information disclosed is true, accurate, and complete, without false records, misleading statements, or significant omissions.
Special Reminder:
- Investment Target: Wuxi Zhilichuan Technology Co., Ltd. (hereinafter referred to as "Zhilichuan Technology").
- Investment Amount: The company plans to use its own funds of 1 million RMB to acquire a 2% equity stake in Zhilichuan Technology held by Wuxi Julizhi Management Consulting Partnership (Limited Partnership) (hereinafter referred to as "Julizhi"). Additionally, the company intends to increase its capital in Zhilichuan Technology by 10 million RMB at a pre-investment valuation of 100 million RMB (the equity acquisition and capital increase are collectively referred to as "this investment").
- Ms. Liu Jingru is the actual controller of the company and the spouse of Yang Hao, the secretary of the board, making her a related party.
- This investment constitutes a related party transaction but does not constitute a major asset reorganization as defined by the "Measures for the Administration of Asset Restructuring of Listed Companies." This transaction has been approved by the company's 19th meeting of the third board of directors, with related directors abstaining from voting.
I. Overview of External Investment and Related Transactions
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Basic Information: The company held the 19th meeting of the third board of directors on May 20, 2026, and approved the proposal regarding external investment and related party transactions. Before this investment, the company held a 9.09% equity stake in Zhilichuan Technology. In line with long-term strategic development needs, the company plans to use its own funds of 1 million RMB to acquire a 2% equity stake from Julizhi and increase its capital in Zhilichuan Technology by 10 million RMB. After the completion of the equity acquisition and capital increase, the company's total equity stake in Zhilichuan Technology will be 19.17%.
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Related Party Transaction Situation: Prior to this transaction, Ms. Liu Jingru held a 24.55% equity stake in Zhilichuan Technology. This investment constitutes a related party transaction but does not meet the standards for shareholder approval as stipulated in the company's "Management Measures for Related Transactions" and "Management Measures for External Investments."