-- Announcement on Progress in Litigation Involving the Company
Securities code: 603387 Securities abbreviation: Jidan Biotechnology Announcement number: 2025-043 Jidan Biotechnology Co., Ltd.
Announcement on the progress of litigation involving the company
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.
Important content reminder:
Litigation stage of the case: second instance judgment
The listed company’s party position: Appellee in the second instance (defendant in the original instance)
Amount involved: No specific litigation amount is involved.
Whether it will have an impact on the profits and losses of the listed company: The judgment in this lawsuit is final and does not involve the specific amount of the lawsuit. It is not expected to have an impact on the company's current or subsequent profits. The company will pay attention to the subsequent progress of the litigation and fulfill its information disclosure obligations in a timely manner. Investors are kindly requested to invest rationally and pay attention to investment risks.
1. Basic information about this lawsuit
Jidan Biotechnology Co., Ltd. (hereinafter referred to as "Jidan Biotechnology" or the "Company") completed the acquisition of Wuhan Jingchuan Diagnostic Technology Co., Ltd. (hereinafter referred to as "Jingchuan Diagnostics") in 2020 and became its controlling shareholder. As the acquirer, the company avoids horizontal competition with Jingchuan Diagnostics (including its subsidiaries). It promises in the Acquisition Report that from the date of the issuance of the letter of commitment and as the largest shareholder of Jingchuan Diagnostics, it will not directly or indirectly engage in or participate in any business or activity that competes with Jingchuan Diagnostics’ existing main business within or outside China, or have the rights and interests of any economic entity, institution, or economic organization that competes with Jingchuan Diagnostics.
The plaintiff, Wuhan Zhongjucheng Consulting Management Co., Ltd. (hereinafter referred to as "Wuhan Zhongjucheng") believed that the company's related instruments and reagent products constituted horizontal competition with Jingchuan Diagnostics, and filed a lawsuit with the People's Court of Wuhan East Lake New Technology Development Zone. Plaintiff Wuhan Zhongju filed a lawsuit against Jidan Biotech and its nine directors (Su Enben, Yan Bin, Kong Tingting, Ni Wen, Su Enkui, Tao Aidi, Wan Suiren, Ling Hua, and Ju Jixian), and the third party was Jingchuan Diagnostics. The name of the litigation institution is Wuhan East Lake New Technology Development Zone People's Court, and the location of the litigation institution is Wuhan City.
(1) Plaintiff’s claim
In June 2024, the company received the "Notice of Response", "Civil Complaint" and other legal documents served by the People's Court of Wuhan East Lake New Technology Development Zone. Wuhan Zhongjucheng served as the plaintiff, and the lawsuit claims are as follows:
According to the law, it is confirmed that there is horizontal competition between Jidan Biotech and Jingchuan Diagnostics and Jidan Biotech should immediately stop the horizontal competition;
In accordance with the law, the company is ordered to publicly explain the specific reasons for its failure to perform horizontal competition on the disclosure media designated by the China Securities Regulatory Commission and the Shanghai Stock Exchange and apologize to Jingchuan Diagnostics shareholders, including Wuhan Zhongjucheng, and public investors;
Order Jidan Biotech to compensate Wuhan Zhongjucheng for economic losses in accordance with the law;
According to the law, the nine directors of Jidan Biotech were ordered to bear joint and several liability to Wuhan Zhongjucheng for the economic losses claimed in the third lawsuit;
According to the law, it is ordered that Jidan Biotechnology and its nine directors bear all the case acceptance costs of this case.
For details of the case, please refer to the "Jidan Bio: Announcement Regarding the Company's Involvement in Litigation" disclosed by the company on June 29, 2024 (Announcement No.: 2024-023).
(2) Judgment of first instance
In April 2025, the company received the first-instance "Civil Judgment" [Case No.: (2024) E 0192 Minchu No. 9471] served by the People's Court of Wuhan East Lake New Technology Development Zone. The results of the first-instance judgment are as follows:
The lawsuit filed by the plaintiff Wuhan Zhongjucheng Consulting Management Co., Ltd. was dismissed.
For details, please refer to the "Jidan Bio: Announcement on the Progress of the Company's Litigation" disclosed by the company on April 29, 2025 (Announcement No.: 2025-003).
2. Second instance of this lawsuit
Wuhan Zhongjucheng was dissatisfied with the civil judgment (2024) E 0192 Min Chu No. 9471 of the People's Court of Wuhan East Lake New Technology Development Zone, Hubei Province, and appealed to the Wuhan Intermediate People's Court. In July 2025, the company received a subpoena from the Wuhan Intermediate People's Court [Case No.: (2025) E 01 Min Chu No. 10991]. The details are as follows:
(1) Parties to litigation cases
Appellant (plaintiff in the original trial): Wuhan Zhongjucheng Consulting Management Co., Ltd.
Appellees (defendants in the original trial): Jidan Biotechnology Co., Ltd., Su Enben, Yan Bin, Kong Tingting, Ni Wen, Su Enkui, Tao Aidi, Wan Suiren, Ling Hua, Ju Jixian
The third party in the original trial: Wuhan Jingchuan Diagnostic Technology Co., Ltd.
(2) Name and location of the litigation institution
Litigation institution name: Wuhan Intermediate People’s Court
Location of litigation agency: Wuhan City
(3) Appeal request
Revoke the (2024) E0192 Minchu No. 9471 civil judgment issued by the People’s Court of Donghu New Technology Development Zone, Wuhan, Hubei Province;
Confirm that there is horizontal competition between Jidan Biotech and Jingchuan Diagnostics and that Jidan Biotech should immediately stop horizontal competition;
In accordance with the law, the company is ordered to publicly explain the specific reasons for its failure to perform horizontal competition on the disclosure media designated by the China Securities Regulatory Commission and the Shanghai Stock Exchange and apologize to Jingchuan Diagnostics shareholders, including Wuhan Zhongjucheng, and public investors;
According to the law, it was ordered that Jidan Biotech should compensate Jingchuan Diagnostics for economic losses of 500,000 yuan;
According to the law, the nine directors of Jidan Biotech are ordered to bear joint and several liability to Jingchuan Diagnostics for the economic losses claimed in the fourth appeal;
The acceptance fees for the original and second instances of this case shall be borne by Jidan Biotech and its nine directors.
For details, please refer to the "Jidan Bio: Announcement on the Progress of the Company's Litigation" disclosed by the company on July 23, 2025 (Announcement Number: 2025-026).
(4) Results of the second instance judgment
Recently, the company received a civil judgment issued by the Wuhan Intermediate People's Court [Case No.: (2025) E01 Minzhong No. 10991]. The judgment results are as follows:
The appeal was dismissed and the original judgment was upheld.
The second-instance case acceptance fee is 8,800 yuan, which will be borne by Wuhan Zhongjucheng Consulting Management Co., Ltd.
This judgment is final.
3. Other undisclosed litigation or arbitration matters
As of the disclosure date of this announcement, the company and its holding subsidiaries have no other major litigation or arbitration matters that should be disclosed but have not been disclosed.
4. The impact of the lawsuit announced this time on the company’s current or subsequent profits, etc.
The judgment in this lawsuit is final and does not involve the specific amount of the lawsuit. It is not expected to have an impact on the company's current or subsequent profits. The company will pay attention to the subsequent progress of the litigation and fulfill its information disclosure obligations in a timely manner. Investors are kindly requested to invest rationally and pay attention to investment risks.
Announcement is hereby made.
Board of Directors of Jidan Biotechnology Co., Ltd.
September 18, 2025