Special Report on the Deposit, Management and Actual Use of Raised Funds for the First Half of 2026
Securities code: 603235 Securities abbreviation: Tianxin Pharmaceutical Announcement number: 2026-023
Jiangxi Tianxin Pharmaceutical Co., Ltd.
Regarding the storage, management and actual use of funds raised in the first half of the year
2026
Special report on the situation
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.
1. Basic situation of raised funds
Jiangxi Tianxin Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company" or the "Company") was approved by the China Securities Regulatory Commission's "Zhengjian Xu [2022] No. 1220" "Reply on the Approval of the Initial Public Offering of Stocks of Jiangxi Tianxin Pharmaceutical Co., Ltd.". The lead underwriter, CITIC Securities Co., Ltd., through the Shanghai Stock Exchange system, used offline inquiry allotment to qualified investors and online allotment to holders of non-restricted shares in the Shanghai market A The company publicly issues shares to the public and raises funds through a combination of pricing and issuance by public investors based on the market value of shares and non-restricted depositary receipts. The basic situation is as follows:
Basic information on raised funds
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
The time for receipt of raised funds is July 7, 2022
This reporting period is from January 1, 2026 to June 30, 2026
Item Amount
Total funds raised 161,460.64, including: Amount of excess raised funds - Less: Direct payment of issuance expenses 9,737.33
Net raised funds 151,723.31 minus:
Amount used in previous years 142,133.43 Amount used in this year 5,139.87 [Note 1] Bank fees and exchange gains and losses 0.91 plus:
Interest income from raised funds 3,190.50
- Balance of raised funds at the end of the reporting period 7,639.60 [Note 1]: The amount used this year includes: In June 2026, the company will permanently replenish working capital with a total of 37.3089 million yuan of surplus raised funds (including interest income minus net bank fees) from the "annual production of 350 tons of cholesterol, 6 tons of 25-hydroxyvitamin D3 project" and the "enterprise research institute project".
2. Management of raised funds
(1) Management of raised funds
In order to standardize the management and use of raised funds, improve the efficiency and effectiveness of fund use, and protect the interests of investors, the company has formulated the "Jiangxi Tianxin Pharmaceutical Co., Ltd. Raised Funds Management System" (hereinafter referred to as the "Management System") in accordance with the provisions of the Company Law, the Securities Law, the Supervisory Rules for Funds Raised by Listed Companies, the Stock Listing Rules of the Shanghai Stock Exchange, and the Shanghai Stock Exchange Self-Regulatory Supervision Guidelines No. 1 for Standardized Operations of Listed Companies - Standardized Operations, and based on the company's actual situation. According to the "Management System", the Company adopts a special account storage system for raised funds, establishes a special account for raised funds at the bank, and together with the sponsor CITIC Securities Co., Ltd., signed the "Tripartite Supervision Agreement for the Special Account Deposit of Raised Funds" with the Industrial and Commercial Bank of China Co., Ltd. Leping Branch, China Construction Bank Co., Ltd. Leping Branch, Shangrao Bank Co., Ltd. Leping Branch, China Merchants Bank Co., Ltd. Jingdezhen Branch, and Bank of China Co., Ltd. Leping Branch, respectively, which clarifies the rights and obligations of all parties. There is no major difference between the three-party supervision agreement and the Shanghai Stock Exchange's three-party supervision agreement template. The company has strictly complied with it when using the raised funds, so as to facilitate the management and use of the raised funds and supervise their use to ensure that the earmarked funds are used exclusively.
The company held the 16th meeting of the second board of directors on October 27, 2023, and held the first extraordinary shareholders' meeting of 2023 on November 16, 2023. The company reviewed and approved the "Proposal on Changing Investment Projects with Partial Raised Funds" and agreed that the company would adjust the originally planned investment of raised funds of 631.2915 million yuan in the "1,000 tons of vitamin A project per year" to 431.2915 million yuan. Ten thousand yuan, the funds required for subsequent production capacity construction will be raised by the company itself; the original planned investment of 238,865,500 yuan in raised funds for the "Enterprise Research Institute Project" was adjusted to 128,865,500 yuan, and a total of 310 million yuan of unused raised funds from the above two projects will be used to build the "66,770 tons annual fine chemicals project" (hereinafter referred to as the "new project"). The new project will be implemented by the company's wholly-owned subsidiary Ningxia Xiaxin Pharmaceutical Co., Ltd. (hereinafter referred to as "Ningxia Xiaxin"). In order to standardize the management of raised funds and protect the rights and interests of investors, in accordance with the "Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 1 - Standardized Operations" and other laws and regulations, on December 14, 2023, the company and its wholly-owned subsidiary Ningxia Xin signed a "Four-party Supervision Agreement for the Special Account Deposit of Raised Funds" with CITIC Securities Co., Ltd. and Qingtongxia Branch of Bank of China Co., Ltd. There is no major difference between the content of the above agreement and the "Tripartite Supervision Agreement (Template) for the Separate Account Deposit of Raised Funds" formulated by the Shanghai Stock Exchange.
(2) Special account storage of raised funds
As of June 30, 2026, the company has 7 special accounts for raised funds and 1 seven-day notice deposit account. The storage situation of raised funds is as follows:
Raised funds storage status table
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
The time for receipt of raised funds is July 7, 2022
End of the reporting period Account status Account name Opening bank Bank account number
The balance status is not for the exclusive use of budget units. Industrial and Commercial Bank of China Limited
1503229029000281830 / Canceled deposit account Leping Branch of Co., Ltd.
Exclusively for non-budgetary units China Construction Bank Co., Ltd.
36050162025009006666 / Deposit account canceled Leping Branch of Co., Ltd.
Exclusively for non-budgetary units Shangrao Bank Co., Ltd.
231103090000022665 / Canceled deposit account Sileping Branch
Exclusively for non-budgetary units China Merchants Bank Co., Ltd.
798900353010808 / Deposit account canceled Si Jingdezhen Branch
Exclusively for non-budgetary units Bank of China Co., Ltd.
191753982539 / Canceled deposit account Sileping Branch
Exclusively for non-budgetary units Bank of China Co., Ltd.
202253980612 7,639.60 Deposit account in use Sileping Branch
Exclusively for non-budgetary units Bank of China Co., Ltd.
106074262639 / Canceled deposit account Siqingtongxia Branch
Seven days in RMB Bank of China Co., Ltd.
199253734245[Note 1] 0.00 Notice deposit account in use Sileping Branch
Total / / 7,639.60 / [Note 1] This account is a sub-account of the company’s raised funds account (202253980612) opened at the Leping Branch of Bank of China Co., Ltd. The sub-account does not have external settlement functions.
3. Actual use of funds raised in the first half of 2026
(1) Usage of raised funds for investment projects
Please refer to Appendix 1 of this report for details of the "Comparison of Usage of Raised Funds" for the first half of 2026.
(2) Advance investment and replacement of fundraising projects
The company held the 10th meeting of the second board of directors on August 19, 2022, and reviewed and approved the "Proposal on Using Raised Funds to Replace Self-raised Funds for Pre-Investment Projects and Issue Fees Paid", and agreed that the company would use RMB 157,504,400 of raised funds to replace self-raised funds for pre-invested projects and RMB 1,459,200 of raised funds to replace self-raised funds that have paid issuance fees. The replacement amount has been specially verified by Zhonghui Accounting Firm (Special General Partnership) and issued the "Assurance Report on Jiangxi Tianxin Pharmaceutical Co., Ltd.'s Preliminary Investment of Raised Funds into Investment Projects and Payment of Issuance Fees with Self-raised Funds" (Zhonghui Huijian [2022] No. 6146). The company's independent directors and sponsors have all issued clear opinions of agreement.
During the reporting period, the company had no prior investment or replacement in fundraising projects.
Raised funds replacement advance investment table
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
The time for receipt of raised funds is July 7, 2022
Investment items with raised funds Self-raised funds Pre-replacement date Total investment amount reviewed by the board of directors Replacement amount
Current investment amount, period, passing date, annual output of 1,000 tons, subsistence
63,129.15 1,167.94 1,167.94 2022/9/2 2022/8/19 Su A project
Annual output of 7,000 tons of life support
16,002.13 3,448.29 3,448.29 2022/9/2 2022/8/19 Su B5 project
Annual production of 350 tons of bile
Alcohol, 6 tons of 25-hydroxyvitamin 7,705.48 5,158.89 5,158.89 2022/9/2 2022/8/19 Vitamin D3 project
Enterprise Research Institute Project 23,886.55 5,456.32 5,456.32 2022/9/2 2022/8/19 Sales Network and Intelligence
1,000.00 886.80 886.80 2022/9/2 2022/8/19 Factory Project
Supplementary working capital 40,000.00 - - 2022/9/2 2022/8/19 issuance fee - 145.92 145.92 2022/9/2 /
Total 151,723.31 16,264.16 16,264.16 / /
(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
Raised funds cash management review status table
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
The time for receipt of raised funds is July 7, 2022
The plan is in progress. The board of directors will review the plan. The plan will start. The plan will end.
Cash Management Planned approach to cash management Proposal date Date
The amount of money purchased from various financial institutions is highly safe and liquid.
Good cost-preserving products (including but not limited to
20,000.00 2025/4/25 2026/4/24 2025/4/25 Structured deposits, time deposits, notice deposits,
Certificate of deposit, agreement deposit, etc.)
Purchase from various financial institutions with high security and liquidity
Good cost-preserving products (including but not limited to
20,000.00 2026/4/23 2027/4/22 2026/4/23 Structured deposits, time deposits, notice deposits,
Certificate of deposit, agreement deposit, etc.)
Cash management details of raised funds
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
The time for receipt of raised funds is July 7, 2022
Estimated annual product name Product Purchase money Not yet repaid Interest entruster Trustee bank Starting date Ending date Return date Type of income Amount Amount
Jiangxi Tianxin Bank of China
Seven-day pass notification
Pharmaceutical Shares Leping Branch 3,000.00 2025/4/28 2026/4/21 2026/4/21 - 0.90% 26.85
Zhi Deposit Deposit
Co., Ltd. Sales Department
Jiangxi Tianxin Bank of China
Seven-day pass notification
Pharmaceutical Shares Leping Branch 4,000.00 2025/4/28 2026/4/21 2026/4/21 - 0.90% 35.80
Zhi Deposit Deposit
Co., Ltd. Sales Department
(5) Use of excess raised funds to permanently supplement working capital or return bank loans
During the reporting period, the Company did not use excess raised funds to permanently replenish working capital or repay bank loans.
(6) The excess raised funds are used for projects under construction and new projects (including acquisition of assets, etc.) or the repurchase and cancellation of the company’s shares
During the reporting period, the Company did not use excess raised funds for projects under construction or new projects (including acquisition of assets, etc.) or to repurchase and cancel the Company's shares.
(7) Usage of surplus raised funds
The company held the 14th meeting of the third session of the Board of Directors on April 23, 2026, and held the 2025 Annual Shareholders Meeting on May 21, 2026. The company reviewed and approved the "Proposal on Adjusting the Investment Scale, Closing Projects and Using the Surplus Raised Funds to Permanently Replenish Liquidity for Some Raised Investment Projects" and agreed that the company will "produce 350 tons of cholesterol and 6 tons of 25-hydroxyvitamin D3 annually." Project" and "Enterprise Research Institute Project" will be closed, and the remaining raised funds totaling 37.2503 million yuan (including interest income minus net bank fees, the actual amount shall be based on the balance of the special account for raised funds on the day when the funds are transferred out) to permanently replenish working capital. For specific details, please refer to the "Announcement on Adjusting the Investment Scale, Closing Projects and Using the Surplus Raised Funds to Permanently Replenish Working Capital for Some Fund Raised Investment Projects" disclosed by the company on April 24, 2026 (Announcement No.: 2026-006).
As of June 24, 2026, the company has transferred a total of 37.3089 million yuan of surplus raised funds from the above-mentioned investment projects (including interest income minus net bank fees) to the company's own capital account for permanent replenishment of working capital. The special account for raised funds corresponding to the above-mentioned projects has been closed. For details, please refer to the "Announcement on the Completion of Cancellation of Partial Raised Funds Special Accounts" disclosed by the company on June 24, 2026 (Announcement Number: 2026-018).
Usage statement of surplus raised funds
Unit: 10,000 yuan Currency: RMB Issuance name Initial public offering of shares in 2022
Date of receipt of raised funds: July 7, 2022
Total amount of remaining raised funds 3,730.89 [Note 2] New projects
Surplus new project Planned investment Board review Shareholders meeting review Surplus investment project name Surplus capital New project
Funds Planned Investment Raising Date of Approval Date of Approval Fund Amount Name
Purpose Total Funds Total Funds Period Period
Um
Annual output of 350 tons of bile
used for
Alcohol, 6 tons of 25-hydroxyl 1,449.96 Not applicable Not applicable - 2026/4/23 2026/5/21
make up flow
Vitamin D3 Project
used for
Enterprise Research Institute Project 2,280.92 Not applicable Not applicable - 2026/4/23 2026/5/21
make up flow
[Note 2] The remaining difference in the total amount is due to rounding when converting to RMB 10,000.
(8) Other uses of raised funds
The company held the 14th meeting of the third board of directors on April 23, 2026, and held the 2025 annual shareholders' meeting on May 21, 2026, at which the "Proposal on Adjusting the Investment Scale, Closing Projects and Using Surplus Raised Funds to Permanently Supplement Working Capital of Some Fund-raised Investment Projects" was reviewed and approved. After comprehensive consideration of the market environment, business planning and fund utilization efficiency of the raised investment project, the company is agreed to make the following adjustments: (1) Adjust the investment scale and project capacity of the raised investment project "66,770 tons of fine chemicals project with an annual output", keep the planned use of raised funds unchanged, and change the project name to "66,770 tons of fine chemicals project with an annual output of phase 1". The project has reached the scheduled usable status in March 2026, the raised funds have been used up, and the company has closed the project. (2) As of March 2026, the raised investment projects "annual production of 350 tons of cholesterol, 6 tons of 25-hydroxyvitamin D3 project" and "enterprise research institute project" have reached the scheduled usable status. The company has closed the above projects and used the remaining raised funds to permanently replenish working capital. For details, please refer to the "Announcement on Adjusting the Investment Scale and Closing Some Fund-raising Projects and Using the Surplus Raised Funds to Permanently Replenish Working Capital" disclosed by the company on April 24, 2026 (Announcement Number: 2026-006).
4. Change the use of funds for investment projects
(1) Changes in investment projects with raised funds
Please refer to Appendix 2 of this report for details of the "Changes in Investment Projects with Raised Funds" for the first half of 2026.
(2) Explanation of the situation where the benefits cannot be separately calculated for the investment projects with raised funds.
There is no situation in which the benefits cannot be calculated separately when the investment projects of raised funds are changed.
(3) Explanation of external transfer or replacement of investment projects with raised funds
There is no external transfer or replacement of the investment projects with raised funds.
5. Problems in the use and disclosure of raised funds
The information related to the raised funds disclosed by the Company has not been disclosed in a timely, true, accurate and complete manner; the raised funds used have been invested in the promised investment projects with raised funds, and there are no major violations of the use of raised funds.
Announcement is hereby made.
Attachments: 1. Comparison table of usage of raised funds
- Changes to the investment project status of raised funds
Board of Directors of Jiangxi Tianxin Pharmaceutical Co., Ltd.
Schedule 1 on August 29, 2026:
Comparison table of usage of raised funds
2026 half year
Compilation unit: Jiangxi Tianxin Pharmaceutical Co., Ltd. Unit: 10,000 yuan Currency: RMB Issuance name 2022 initial public offering of shares
Date of receipt of raised funds: July 7, 2022
Total raised funds invested during the year 5,139.87 Total raised funds invested 147,273.30 Total raised funds changed in use 31,000.00 Proportion of total raised funds changed in use 20.43% As of the end of the period
Deadline
Changed Cumulative investment The project can commit to investment projects Raising investment Final investment The project has reached the target Whether it has been achieved
Project, raised funds As of the end of the period As of the end of the period, the amount and performance are
After adjustment, the investment progress this year has reached the expected usable status.
Hechao raised capital investment project includes part of committed investment. Commitment of investment. Cumulative investment. Commitment of investment. Whether the total amount of capital is generated. Amount of investment (%) status date (with benefits)
towards nature
Change (such as the difference between total amount (1) amount (2) amount
(4)＝body to month) [Note 2]
Major changes) (3)＝(2)- (2)/(1)
(1)
500 tons for the first phase
The annual production capacity is 1,000 tons.
Production -587.29
Vitamin A project Yes 63,129.15 43,129.15 43,129.15 1,277.96 37,539.19 -5,589.96 87.04 202410 Not applicable No
Construction [Note 4]
Reservation reached within one month for the first phase
Available status
Annual output: 3,000 tons
Production 101.43 2024 2 560.37 Vitamin B5 item No 16,002.13 16,002.13 16,002.13 - 16,231.24 229.11 Not applicable No
Construction [Note 3] Month [Note 4] Project
Annual output of 350 tons of bile
Sterol, 6 tons 25- Production 83.51 2026 3 -1,019.59
No 7,705.48 7,705.48 7,705.48 - 6,434.88 -1,270.60 Not applicable No Hydroxyvitamin D3 Construction [Note 3] Month [Note 4] Project
Production 100.22 2025 4
Smart factory project No 1,000.00 1,000.00 1,000.00 - 1,002.23 2.23 Not applicable Not applicable No
Construction [Note 3] Month
Corporate Research Project R&D 86.04 2026 3
Yes 23,886.55 12,886.55 12,886.55 131.02 11,087.72 -1,798.83 Not applicable Not applicable No Item [Note 3] Month
Supplementary flow 100.57
Supplementary working capital No 40,000.00 40,000.00 40,000.00 - 40,229.60 229.60 Not applicable Not applicable Not applicable No
Loan repayment [Note 3]
Annual output 66,770
Production 100.06 2026 3 1,860.93 tons of fine chemicals Yes - 31,000.00 31,000.00 - 31,017.56 17.56 Not applicable No
Construction [Note 3] months [Note 4] Phase I of the project
The remaining funds are permanent
savings
Supplementary working capital Not applicable - - - 3,730.89 3,730.89 Not applicable Not applicable Not applicable Not applicable Not applicable No
make up flow
[Note 5]
Total 151,723.31 151,723.31 151,723.31 5,139.87 147,273.30 -4,450.01 97.07 / / / /Reasons for failure to meet planned progress (divided into specific fundraising projects) For details, please refer to Part 3 (8) of this special report "Other Use of Raised Funds"
Description of major changes in project feasibility Not applicable
For details on the advance investment and replacement of investment projects with raised funds, please refer to Part 3 (2) of this special report, “Preliminary Investment and Replacement of Investment Projects with Raised Funds”
Use of idle raised funds to temporarily supplement working capital Not applicable
Cash management of idle raised funds and investment in related products. For details, please refer to Part 3 (4) of this special report "Cash management of idle raised funds and investment in related products."
Use of excess raised funds to permanently replenish working capital or repay bank loans Not applicable
For details on the amount of the balance of raised funds and the reasons for its formation, please refer to Part 3 (7) of this Special Report "Use of Surplus Raised Funds"
For other uses of raised funds, please refer to Part 3 (8) of this special report "Other uses of raised funds" for details.
[Note 1] The remaining difference in the total amount is due to rounding when converting to RMB 10,000.
[Note 2] The company has not made any commitment to the benefits of the above-mentioned investment projects with raised funds.
[Note 3] The part where the company's cumulative investment amount is greater than the committed investment amount is mainly the income obtained by the company after using part of the temporarily idle raised funds for cash management.
[Note 4] The benefits achieved in this period are all related to the gross profit from the sales of the relevant products.
[Note 5] The company held the 14th meeting of the third session of the board of directors on April 23, 2026, and held the 2025 annual shareholders' meeting on May 21, 2026. The company reviewed and approved the "Proposal on Adjusting the Investment Scale and Closing Some Fund-raising Projects and Using the Surplus Raised Funds to Permanently Replenish Liquidity", and agreed that the company will " The annual production of 350 tons of cholesterol and 6 tons of 25-hydroxyvitamin D3 project" and the "Enterprise Research Institute Project" were completed, and the remaining raised funds totaled 37.2503 million yuan (including interest income minus the net bank fees, the actual amount is based on the balance of the special account for raised funds on the day the funds are transferred out) to permanently replenish working capital. As of June 24, 2026, the company has transferred the remaining funds raised from the above-mentioned investment projects (including interest income minus net bank fees) totaling 37.3089 million yuan into the company's own capital account for permanent replenishment of working capital. The special account for raised funds corresponding to the above-mentioned projects has been closed.
Schedule 2:
Changes to the investment project status of raised funds
2026 half year
Compilation unit: Jiangxi Tianxin Pharmaceutical Co., Ltd. Unit: 10,000 yuan Currency: RMB Issuance name 2022 initial public offering of shares
Date of receipt of raised funds: July 7, 2022
After the change, the project reached
After the change, the actual cumulative investment progress of the project as of the end of the period has reached the scheduled level. The board of directors will review the changes. The shareholders will review the corresponding original implementation project. Planned investment amount. Actual investment amount (%) for the feasibility project to be realized this year. Actual investment amount (%) can be used until the project is expected to be approved. The project will be approved when the proposal is approved. Status Date Benefit Time Total (1) Major Period
Change annual output 1,000
Annual output 6.677 Ningxia
Tons of Vitamins Ningxia
Ten thousand tons of precision production New Pharmaceutical 2026 1,860.93
Project A Bronze 31,000.00 31,000.00 - 31,017.56 100.06 Not applicable No 2023/10/27 2023/11/16 Chemical Project Construction Shareholding 3 months [Note 1]
Corporate Research Gap
Co., Ltd.
hospital projects
Jiangxi sky
Annual output 3,000 Annual output 7,000
Production New Pharmaceutical Jiangxi 2024 560.37
Tons of vitamins Tons of vitamins 16,002.13 16,002.13 - 16,231.24 101.43 Not applicable No 2025/4/25 2025/5/22 Construction Shareholding Leping February [Note 1]
B5 Project B5 Project
Ltd.
Jiangxi sky
Sales network
Smart Factory Production New Pharmaceutical Jiangxi 2025
and smart industry 1,000.00 1,000.00 - 1,002.23 100.22 Not applicable Not applicable No 2025/4/25 2025/5/22 Project Construction Joint-stock-owned Leping April Factory Project
Ltd.
Annual output 6.677 Annual output 6.677 Ningxia Xia
Ningxia
10,000 tons of fines 10,000 tons of fines Production New Pharmaceutical 2026 1,860.93
Bronze 31,000.00 31,000.00 - 31,017.56 100.06 Not applicable No 2026/4/23 2026/5/21 Chemical items Chemical items Construction Shareholding 3 months [Note 1]
gorge
Project 1 Project Co., Ltd.
Annual output 350
tons of cholesterol
Alcohol, 6 tons
Saving funds
25-hydroxyvitamin savings
Permanent supplement / / - - 3,730.89 3,730.89 Not applicable Not applicable Not applicable Not applicable No 2026/4/23 2026/5/21
Vitamin D3 supplement
working capital
Project
corporate research
hospital projects
Total 79,002.13 79,002.13 3,730.89 82,999.48 / / / / / / /
The company held the 16th meeting of the second board of directors on October 27, 2023, and the first extraordinary general meeting of shareholders of 2023 on November 16, 2023, and reviewed and approved the "Proposal on Changing Investment Projects with Partial Raised Funds". According to the company's development strategy, business layout and industry development changes, in order to improve the efficiency of the use of raised funds, the company has changed the investment projects of part of the funds raised from the initial public offering of stocks, and adjusted the plans for the use of raised funds for the "1,000 tons of vitamin A project per year" and the "Corporate Research Institute Project". Among them, the original planned investment amount of raised funds for the "1,000 tons of vitamin A project per year" was adjusted to 431.2915 million yuan, which will be used for the construction of a 500-ton production capacity in the first phase. The funds required for subsequent production capacity construction will be raised by the company itself; the original planned investment amount of raised funds for the "Enterprise Research Institute Project" was adjusted from 238.8655 million yuan to 128.8655 million yuan. At the same time, the company used a total of 310 million yuan of unused funds raised from the above two projects to build a "66,770-ton-per-year fine chemicals project." For details, please refer to the "Announcement on Changes in Investment Projects with Partially Raised Funds" published by the company on the website of the Shanghai Stock Exchange on October 31, 2023 (Announcement No.: 2023-030).
The company held the ninth meeting of the third board of directors on April 25, 2025, and held the 2024 Annual General Meeting of Shareholders on May 22, 2025, and reviewed and approved the "Proposal on Adjusting the Investment Scale and Closing Some Fund-raising Projects". Comprehensive consideration of the company's development stage, business needs and capital utilization efficiency, it was agreed to adjust the investment scale of the raised investment projects "7,000 tons of vitamin B5 per year project" and "sales network and smart factory project", keeping the planned use of raised funds unchanged, and at the same time changing the names of the above projects to "reasons for annual production changes, decision-making procedures and information disclosure details (specific fundraising
3,000 tons of vitamin B5 project" and "smart factory project"; the above-mentioned projects have reached the intended usable state, the raised funds have been used up, and it is agreed to close the above-mentioned projects. Investment project)
For details, please refer to the "Announcement on the Adjustment of Investment Scale and Closing of Some Fund-raising Projects and the Extension of Some Fund-raising Projects" disclosed by the company on April 26, 2025 (Announcement Number: 2025-016).
- The company held the 14th meeting of the third board of directors on April 23, 2026, and held the 2025 annual shareholders' meeting on May 21, 2026. The company reviewed and approved the "Proposal on Adjusting the Investment Scale and Closing of Some Fund-raised Investment Projects and Using the Surplus Raised Funds to Permanently Supplement Working Capital." After comprehensive consideration of the market environment, business planning and fund utilization efficiency of the raised investment project, the company is agreed to make the following adjustments: (1) It is planned to adjust the investment scale and project capacity of the raised investment project "66,770 tons of fine chemicals project with an annual output", keep the planned use of raised funds unchanged, and change the project name to "66,770 tons of fine chemicals project with an annual output of phase 1". The project has reached the scheduled usable status in March 2026, the raised funds have been used up, and the company has closed the project. (2) As of March 2026, the raised investment projects "annual production of 350 tons of cholesterol, 6 tons of 25-hydroxyvitamin D3 project" and "enterprise research institute project" have reached the scheduled usable status. The company has closed the above projects and used the remaining raised funds to permanently supplement working capital. For details, please refer to the "Announcement on Adjusting the Investment Scale, Closing Projects and Using the Surplus Raised Funds as a Permanent Replenishment of Working Capital for Some Fund-raising Projects" disclosed by the company on April 24, 2026 (Announcement No.: 2026-006).
Situations and reasons for not meeting the planned progress (divided into specific fundraising projects) Not applicable
Description of major changes in project feasibility after change Not applicable
[Note 1] The benefits achieved this year are all based on the gross profit from the sales of relevant products.