Announcement on Share Reduction by Controlling Shareholders and Their Concerted Actors
Special Reminder: Xinling Electric Co., Ltd. (hereinafter referred to as "the Company" or "the Issuer") controlling shareholders and actual controllers Mr. Hu Zhixing, Mr. Hu Zhilin, and their concerted actors, including Yueqing Xinyi Investment Partnership (Limited Partnership) (hereinafter referred to as "Xinyi"), Yueqing Xinjia Investment Partnership (Limited Partnership) (hereinafter referred to as "Xinjia"), Yueqing Xinzheming Investment Partnership (Limited Partnership) (hereinafter referred to as "Xinzheming"), Mr. Qu Jianguang, and Ms. Hu Xiaofang, collectively hold 57,162,147 shares of the Company (accounting for 55.80% of the total share capital). The controlling shareholders and actual controllers plan to reduce their holdings by no more than 3,072,671 shares (accounting for 3.00% of the total share capital) within three months starting from fifteen trading days after the announcement date (i.e., from June 25, 2026, to September 24, 2026), through centralized bidding or block trading. Among this, the reduction through centralized bidding will not exceed 1,024,212 shares (not exceeding 1.00% of the total share capital), and the reduction through block trading will not exceed 2,048,459 shares (not exceeding 2.00% of the total share capital). The controlling shareholders and actual controllers guarantee that the information provided to the Company is true, accurate, and complete, without false records, misleading statements, or significant omissions. The Company and all members of the board of directors guarantee that the announcement content is consistent with the information provided by the information discloser.
1. Basic Information of Shareholders
| Shareholder Name | Number of Shares (shares) | Proportion of Total Shares (%) |
|---|---|---|
| Hu Zhixing | 17,225,016 | 16.81% |
| Hu Zhilin | 17,225,015 | 16.81% |
| Xinyi | 9,572,900 | 9.34% |
| Xinjia | 6,452,400 | 6.30% |
| Xinzheming | 4,616,600 | 4.51% |
| Qu Jianguang | 1,192,837 | 1.16% |
| Hu Xiaofang | 877,379 | 0.86% |
| Total | 57,162,147 | 55.80% |
2. Main Content of the Share Reduction Plan
- Reason for Reduction: Personal funding needs.
- Source of Shares: Shares acquired before the Company's initial public offering.
- Number of Shares to be Reduced and Proportion of Total Share Capital: The planned reduction is no more than 3,072,671 shares (the number will be adjusted accordingly if there are changes in shares due to stock dividends, capital reserve transfers, share buybacks, etc.), accounting for no more than 3.00% of the total share capital.