Special report on the storage, management and actual use of raised funds in 2025
Securities code: 603087 Securities abbreviation: Ganli Pharmaceutical Announcement number: 2026-028
Ganli Pharmaceutical Co., Ltd.
The company's board of directors and all directors guarantee that the contents of this announcement do not contain any false records, misleading statements or major omissions, and assume legal responsibility for the authenticity, accuracy and completeness of its contents.
In accordance with the "Regulations on the Supervision of Funds Raised by Listed Companies" and other relevant regulations issued by the China Securities Regulatory Commission, the special report on the deposit, management and actual use of raised funds in 2025 of Ganli Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company") is now disclosed as follows:
1. Basic situation of raised funds
As approved by the China Securities Regulatory Commission with the "Reply on the Approval of the Initial Public Offering of Stocks of Ganli Pharmaceutical Co., Ltd." in the "Security Regulatory License [2020] No. 1075" document, the company publicly issued 40,200,000 RMB ordinary shares (A shares) to the public, with a face value of RMB 1 per share, an issue price of RMB 63.32 per share, and a total amount of funds raised of RMB 2,545,464,000.00. After deducting the issuance and listing expenses of RMB 104,329,536.23 (since the company's external sales of self-produced insulin products are subject to value-added tax at a simplified tax rate of 3%, input tax is not deductible, the above issuance expenses include value-added tax), the company's net proceeds from the issuance of A shares totaled RMB 2,441,134,463.77.
The above-mentioned raised funds were all received on June 22, 2020, and have been verified by Ernst & Young Hua Ming LLP (Special General Partnership), and the Ernst & Young Hua Ming (2020) Yanzi No. 61234813_A01 capital verification report was issued. As of December 31, 2025, the use and balance of the raised funds are as follows:
Basic information on raised funds
Unit: Yuan Currency: RMB Issuance Name 2020 Initial Public Offering of Stocks
The time when the raised funds will be received is June 22, 2020
This reporting period is from January 1, 2025 to December 31, 2025
Item Amount
Total raised funds 2,545,464,000.00, including: excess raised funds amount 0.00 less: direct payment of issuance expenses 104,329,536.23
Net raised funds 2,441,134,463.77 minus:
Amount used in previous years 2,080,960,906.26 Amount used this year 2,144,251.50 Permanent supplementary amount 138,774,949.42 Temporary supplementary amount 0.00 Cash management amount 200,000,000.00 Add:
Interest income from raised funds (deducting handling fees) 7,395,721.62 Accumulated investment using temporarily idle raised funds
38,945,756.39 realized income
Unpaid issuance fees 600.03
- Balance of raised funds at the end of the reporting period 65,596,434.63
2. Management of raised funds
In order to standardize the use and management of funds raised by Ganli Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company"), improve the efficiency and effectiveness of fund use, and protect the interests of investors, in accordance with the "Company Law of the People's Republic of China" In accordance with the relevant provisions of the Securities Law of the People's Republic of China, the Stock Listing Rules of the Shanghai Stock Exchange, the Supervision Rules for Funds Raised by Listed Companies, and the Articles of Association of Ganli Pharmaceutical Co., Ltd., the "Management Measures for the Raised Funds of Ganli Pharmaceutical Co., Ltd." (hereinafter referred to as the "Management Measures") were specially formulated. The "Management Measures" were voted and approved by the company's first extraordinary general meeting of shareholders in 2025.
In accordance with the requirements of the "Administrative Measures" and in conjunction with the company's operating needs, the company implements a special account for storage of raised funds. The company and the sponsor institution CITIC Securities Co., Ltd. respectively signed the "Tripartite Supervision Agreement for the Deposit of Raised Funds in a Special Account" with the bank where the funds raised from the initial public offering are deposited on June 22, 2020. There is no major difference between this agreement and the "Tripartite Supervision Agreement for the Deposit of Raised Funds in a Special Account (Template)". The company fully guarantees the supervisory rights of sponsors, independent directors and the board of supervisors over the use and management of raised funds. Up to now, all parties to the agreement have exercised their rights and performed their obligations in accordance with the provisions of the "Tripartite Supervision Agreement for Special Account Deposit of Raised Funds".
According to the "Three-Party Supervision Agreement for Special Account Deposit of Raised Funds" signed between the company, CITIC Securities Co., Ltd. and the bank where the funds raised from the initial public offering are deposited, if the company's cumulative withdrawal from the special account exceeds 50 million yuan at one time or within 12 months and reaches 20% of the net amount of the total funds raised after deducting issuance expenses, the company shall notify the sponsor representative by fax or email within 5 working days after payment.
As of December 31, 2025, the deposit status of funds raised from the initial public offering of stocks in 2020 is as follows:
Raised funds storage status table
Unit: Yuan Currency: RMB Issuance Name 2020 Initial Public Offering of Stocks
The time when the raised funds will be received is June 22, 2020
Account name Bank account number Ending balance of the reporting period Account status Ganli Pharmaceutical Co., Ltd. 350645008735 65,594,363.33 Current
Ganli Pharmaceutical Co., Ltd. 321130100100409215 0.00 Account has been canceled Ganli Pharmaceutical Co., Ltd. 665678908 2,071.30 Current
Total 65,596,434.63
Note 1: As of December 31, 2025, the balance of funds raised by the company's initial public offering of stocks was 265,596,434.63 yuan. The difference between the balance of raised funds and the balance of the special account for raised funds at the end of the reporting period is because the company used idle raised funds for cash management to purchase 200 million yuan of wealth management products (structured deposits) issued by Bank of China Co., Ltd. Beijing Tongzhou Branch.
3. Actual use of funds raised this year
(1) Usage of raised funds for investment projects
As of December 31, 2025, the company has used a total of 2,083,105,157.76 yuan of funds raised from the initial public offering of stocks. For details of the use of funds raised in investment projects, please see the attached "Comparison of the Use of Raised Funds".
(2) Advance investment and replacement of fundraising projects
The company held the 13th meeting of the third board of directors and the 8th meeting of the third board of supervisors on July 7, 2020, and reviewed and approved the "Proposal on Using Raised Funds to Replace Self-raised Funds Pre-invested in Raised Investment Projects", and agreed to use the funds raised from the initial public offering to replace self-raised funds of RMB 1,521,624,608.07 that had been previously invested in raised investment projects.
(3) Temporarily supplementing working capital with idle raised funds
During the reporting period, the company did not use idle raised funds to temporarily replenish working capital.
(4) Cash management of idle raised funds and investment in related products
On July 25, 2024, the company held the 21st meeting of the 4th board of directors and the 20th meeting of the 4th board of supervisors, and reviewed and approved the "Proposal on Continuing to Use Idle Raised Funds for Cash Management" and agreed to continue to use the funds raised on the premise of ensuring the safety of funds and ensuring that the construction and use plans of investment projects with raised funds are not affected. Continue to use temporarily idle raised funds of no more than 250 million yuan to purchase investment products with high security, good liquidity, and meeting capital preservation requirements (including agreement deposits, structured deposits, time deposits, certificates of deposit, income certificates, etc.) in a timely manner, and such investment products shall not be used for pledge, and shall not be used for investment activities for the purpose of securities investment. At the same time, it will not affect the normal progress of the investment plan of raised funds. The term shall not exceed 12 months from the date of review and approval by the board of directors. Within the above-mentioned period and quota range, funds can be used on a rolling basis.
In July 2024, the company used 200 million yuan of idle raised funds to purchase a principal-guaranteed and minimum-yield financial product (structured deposit) issued by Bank of China Co., Ltd. Beijing Tongzhou Branch. This financial product has been redeemed upon maturity in January 2025, achieving financial income of 2.737 million yuan.
In January 2025, the company used 200 million yuan of idle raised funds to purchase capital-guaranteed floating-income financial products (structured deposits) issued by Bank of China Co., Ltd. Beijing Tongzhou Branch. This financial product has been redeemed upon maturity in July 2025, achieving financial income of 2.1819 million yuan.
In July 2025, the company used 200 million yuan of idle raised funds to purchase capital-guaranteed floating-income financial products (structured deposits) issued by Bank of China Co., Ltd. Beijing Tongzhou Branch. As of December 31, 2025, this financial product has not expired.
The second meeting of the fifth board of directors and the second meeting of the fifth board of supervisors held on July 21, 2025 reviewed and approved the "Proposal on Continuing to Use Idle Raised Funds for Cash Management" and agreed to ensure the safety of funds and ensure that investment projects with raised funds will not be affected. Subject to the construction and use plan, continue to use temporarily idle raised funds not exceeding RMB 250 million to purchase investment products with high security, good liquidity, and meeting capital preservation requirements (including agreement deposits, structured deposits, time deposits, certificates of deposit, and income certificates) in a timely manner.
certificates, etc.), and such investment products shall not be used for pledge or investment activities for the purpose of securities investment. At the same time, it will not affect the normal progress of the investment plan of raised funds. The term shall not exceed 12 months from the date of review and approval by the board of directors. Within the above-mentioned period and quota range, funds can be used on a rolling basis.
Raised funds cash management review status table
Unit: 10,000 yuan Currency: RMB Issuance name 2020 initial public offering of stocks
Time for receipt of raised funds: June 22, 2020
Planned method of cash management Plan start date for board review and approval Plan end date
Amount Managed Formula Date Agreement Deposits, Structured Deposits,
25,000 Time deposits, certificates of deposit, receipts July 25, 2024 July 24, 2025 July 25, 2024 day-to-day certificates, etc.
Agreement deposits, structured deposits,
25,000 Time deposits, certificates of deposit, receipts July 21, 2025 July 20, 2026 July 21, 2025 day-to-day certificates, etc.
Cash management details of raised funds
Unit: 10,000 yuan Currency: RMB Issuance name 2020 initial public offering of stocks
Time for receipt of raised funds: June 22, 2020
Expected/Actual Expected/Actual Product Category Purchase Fund Starting Date Ending Date Return Date Not yet returned
Entrusting party Trusted bank Product name Inter-annualized Inter-interest type Amount Period Period Period Repayment amount
Yield Amount
Bank of China shares
Ganli Pharmaceutical Stocks Linked Structure Bank Manager 2024/07 2025/01 2025/01
Co., Ltd. Beijing 20,000 0 2.7% 273.70 Co., Ltd. Sex deposits Property products /05 /06 /06
Tongzhou Branch
Bank of China shares
Ganli Pharmaceutical Stocks RMB Structure Bank Management 2025/01 2025/07 2025/07
Co., Ltd. Beijing 20,000 0 2.2% 218.19 Co., Ltd. Sex deposits Property products /10 /10 /10
Tongzhou Branch
Bank of China shares
Ganli Pharmaceutical Stock RMB Structure Bank Management 2025/07 2026/01 2026/01 0.45% or 44.63
Co., Ltd. Beijing 20,000 20,000
Co., Ltd. Sex deposits Property products /16 /13 /13 2.13% (Note) Tongzhou Branch
Note: This amount is the expected interest income during the entire contract period.
(5) Usage of surplus raised funds
During the reporting period, the company did not use surplus raised funds.
(6) Other uses of raised funds
During the reporting period, the company had no other use of raised funds.
4. Change the use of funds for investment projects
During the reporting period, the company did not change the investment projects or transfer or replace the investment projects to other parties.
5. Problems in the use and disclosure of raised funds
The information related to the use of raised funds disclosed by the company is timely, true, accurate and complete, and there are no violations in the use and management of raised funds.
- The accounting firm’s concluding opinions on the assurance report issued by the company on the deposit and use of the company’s annual raised funds.
Grant Thornton Accounting Firm (Special General Partnership) believes that the special report on the storage, management and actual use of raised funds of Ganli Pharmaceutical Co., Ltd. in 2025 complies with the China Securities Regulatory Commission's "Supervisory Rules for Raised Funds of Listed Companies" (CSRC Announcement [2025] 10 No. 1), "Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 1 - Standardized Operations" and "Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 1 - Announcement Format" are prepared to truthfully reflect the storage, management and actual use of funds raised by Ganli Pharmaceutical Co., Ltd. in 2025.
- The concluding opinions of the special verification report issued by the sponsor or independent financial consultant on the deposit and use of the company's annual raised funds.
After verification, the sponsor CITIC Securities Co., Ltd. believes that the company has effectively implemented the fund-raising supervision agreement and complied with the "Supervision Rules for Funds Raised by Listed Companies" and other relevant laws, regulations and normative documents. The sponsor has no objection to the deposit and use of the company's raised funds in 2025.
Announcement is hereby made.
Board of Directors of Ganli Pharmaceutical Co., Ltd.
April 23, 2026
Schedule:
Comparison table of usage of raised funds
Unit: 10,000 yuan Currency: RMB Issuance name Date of receipt of funds raised from the initial public offering of stocks in 2020 Total funds invested in the year on June 22, 2020 214.43 Total funds raised cumulatively invested 208,310.52 Total funds raised changed in use
Proportion of total raised funds changed use
Accumulated as of the end of the period
Raised investment has been changed. The project has reached the predetermined level and is feasible.
As of the end of the period, the accumulated investment amount and the commitment as of the end of the period. The investment amount as of the end of the period has reached the promised investment projects and over-raised projects, including some raised funds commitment. Adjusted investment status. Whether the project has been realized during the year. The promised investment amount.
(1) Amount (2) Difference (3)＝(2)- ＝(2)/(1) Nature of benefit (if any) (to the month) (1)
8, 2023
Marketing network construction project Others 24,289.11 24,289.11 24,289.11 15,413.79 -8,875.32 63.46 Not applicable Not applicable No
Monthly closing items
Recombinant insulin glargine products
Research and development 28,944.28 28,944.28 28,944.28 28,944.28 100 Not applicable Not applicable No US registered and listed project
Production 2017 2
Insulin industrialization project 56,632.31 56,632.31 56,632.31 56,632.31 100 151,343.47 No No
construction month
Recombinant insulin lispro products
Research and development 41,514.00 41,514.00 41,514.00 214.43 18,157.23 -23,356.77 43.74 Not applicable Not applicable No US registered and listed project
2019 6
Biological pilot research project R&D 17,239.41 17,239.41 17,239.41 17,239.41 100 Not applicable Not applicable No
month
2019 4 Bioinformatics Project Research and Development 9,351.20 9,351.20 9,351.20 9,351.20 100 Not applicable Not applicable No
Pilot study of monthly pharmaceutical preparations in August 2023
Research and development 10,343.14 10,343.14 10,343.14 6,772.31 -3,570.83 65.48 Not applicable Not applicable Monthly balance of construction projects
Operation Not applicable Not applicable Not applicable No supplementary working capital items 55,800.00 55,800.00 55,800.00 55,800.00 100
management
Total 244,113.45 244,113.45 244,113.45 214.43 208,310.52 -35,802.92 — — — — Reasons for not meeting the planned schedule The U.S. registration and marketing project for the recombinant insulin lispro product was mainly affected by macroeconomic fluctuations and the results of communication and review feedback with the FDA during the implementation process. The company still has relevant matters that need to be improved, and subsequent rectifications need to be completed based on the FDA review opinions. The implementation (divided into specific fundraising projects) has progressed slower than expected, and the project has not yet been completed.
Project feasibility occurs significantly
Not applicable
Description of changing circumstances
Raise funds to invest in projects first
For details, please refer to "3. Actual use of funds raised this year (2) Advance investment and replacement of raised investment projects" in this report
Period investment and replacement status
Use idle raised funds temporarily
Not applicable
Supplement working capital situation
Carry out idle raised funds
Cash management and investment-related details, please refer to "3. Actual use of raised funds this year (4) Cash management of idle raised funds and investment-related products" in this report.
Product situation
Replenish permanently with super-raised funds
Liquidity or return to bank Not applicable
Loan status
The main reason for the balance of raised funds is that during the construction of the company's investment projects, the company adheres to the principles of economy, rationality and effectiveness, uses the raised funds prudently, strengthens the management and supervision of project construction, and combines its own technical advantages with the amount of the balance of raised funds for project construction.
Based on design experience, we can rationally dispatch various resources, optimize construction plans, and reasonably reduce project costs and expenses and other investment amounts. At the same time, in order to improve the efficiency of the use of raised funds, increase cash management income, and obtain more investment returns for the company and shareholders, the reasons for the formation
According to the report, without affecting the construction of investment projects and the safety of raised funds, the company used idle raised funds for cash management and obtained certain investment returns.
Other uses of raised funds
Not applicable
situation
Note 1: The “total amount of raised funds invested this year” includes the “amount invested this year” after the raised funds are received and the actual amount of advance investment that has been replaced.
Note 2: The "committed investment amount as of the end of the period" is determined based on the latest disclosed investment plan for raised funds.
Note 3: The calculation caliber and calculation method of "benefits achieved during the year" should be consistent with the calculation caliber and calculation method of promised benefits.
Note 4: The early promised benefits of the "Insulin Industrialization Project" are: after the implementation of the project, on the premise that the company's external operating environment and its own operating conditions have not changed significantly, the average annual new total profit will be 504.7942 million yuan, and the average annual new net profit will be 378.5957 million yuan. The project's estimated after-tax investment payback period is 4.53 years (including a 2-year construction period), the estimated after-tax net investment profit rate is 63.88%, and the after-tax internal rate of return is 49.80%. As of December 31, 2021, the project has been in operation for 5 years, with a cumulative total profit of 8.2660628 million yuan, a cumulative net profit of 7.0261534 million yuan, and a cumulative new profit of 339, 7.1804 million yuan, with a cumulative new net profit of 2.8876033 million yuan, an average annual new total profit of 679.4361 million yuan, and an average annual new net profit of 577.5207 million yuan, achieving the expected benefits. As of December 31, 2025, the project has been in operation for 9 years, with a cumulative total profit of 11,866,545,900 yuan, a cumulative net profit of 10,086,564,000 yuan, an average annual new total profit of 344,728,600 yuan, and an average annual new net profit of 293,019,300 yuan. From 2022 to 2025, the decline in the average annual total new profit and average annual new net profit of the project is due to the impact of the decline in centralized procurement prices.
Note 5: Any discrepancies between the sub-item data and the total data in the above table are due to rounding.