Announcement of Shanghai Haili Biotechnology Co., Ltd.’s reply to the Shanghai Stock Exchange’s “Regulatory Letter on the Acquisition of Minority Equity Interests in Subsidiaries by Shanghai Haili Biotechnology Co., Ltd.”
Securities code: 603718 Securities abbreviation: Haili Biotechnology Announcement number: 2025-058
Shanghai Haili Biotechnology Co., Ltd.
Announcement on the reply to the Shanghai Stock Exchange's "Regulatory Letter on the Acquisition of Minority Equity Interests in Subsidiaries by Shanghai Haili Biotechnology Co., Ltd."
The board of directors and all directors of the company guarantee that the contents of this announcement do not contain any false records or misleading statements.
statements or major omissions, and shall bear individual and joint liability for the authenticity, accuracy and completeness of its contents.
Risk warning:
After the company's acquisition of the remaining 41% equity of Shaanxi Ruisheng Biotechnology Co., Ltd. (hereinafter referred to as "Ruisheng Bio") is completed, the company's shareholding ratio in Ruisheng Bio will reach 96%. If Ruisheng Biological's performance continues to decline or even suffers a subsequent loss, as the company's shareholding ratio increases, the corresponding negative impact on the company's performance will increase. Compared with the original 45% of the remaining equity, the performance compensation and impairment protection will also be reduced. Therefore, the relevant risk exposure will increase. Investors are advised to pay attention to investment risks.
On December 1, 2025, Shanghai Haili Biotechnology Co., Ltd. (hereinafter referred to as the "Company", "listed company" or "Haili Bio") received the "Supervisory Work Letter Regarding Shanghai Haili Biotechnology Co., Ltd.'s Acquisition of Minority Equity Interests in Subsidiaries" (SSE Official Letter [2025] No. 3974) (hereinafter referred to as the "Supervisory Work Letter") issued by the Listed Company Management Department of the Shanghai Stock Exchange. In accordance with the requirements of the "Supervisory Work Letter", the company has reviewed and implemented the matters listed in the "Supervisory Work Letter" one by one. We now provide an itemized reply to the matters listed in the "Supervisory Work Letter" and explain them as follows.
The fonts used in this reply represent the following meanings:
Font Meaning
Italics (bold) Issues listed in the supervisory work letter
Song Dynasty Replies and explanations to the issues listed in the supervisory work letter
In the response to this supervisory work letter, if there is a discrepancy between the total number and the sum of the sub-items, it is due to rounding.
Question 1: Regarding the declining performance of the target company and the rationality of the valuation.
The announcement shows that in this transaction, the company purchased 41% of the equity of Ruisheng Biotech based on the evaluation price on June 30, 2025 as the base date (that is, the valuation when the transaction price was last lowered). It is noted that Ruisheng Biology achieved operating income of 78.37 million yuan and net profit of 33.77 million yuan in the first half of 2025, while in the third quarter of 2025, it only achieved operating income of 26.77 million yuan and net profit of 9.29 million yuan, which was still a sharp decline from the previous two quarters. Please explain whether the valuation of this transaction is reasonable, and whether there is a significant difference between the previous valuation forecast and the target company's latest operating performance and trends.
【Company reply】
Ruisheng Biological's quarterly operating income and profit from 2023 to the third quarter of 2025 are as follows:
Unit: Ten thousand yuan project 2023Q1 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 2025Q2 2025Q3 operating income
5,532.11 5,347.38 6,018.80 5,627.59 5,549.59 7,090.62 6,602.86 7,278.13 3,952.67 3,884.41 2,677.40
Net profit 3,202.31 2,338.96 3,004.67 2,625.96 2,830.86 3,564.70 3,970.65 3,559.00 1,703.62 1,673.08 928.98
From the analysis of the above table, there is no obvious seasonal pattern in the sales of Ruisheng Biology, and the performance in the third quarter of 2025 has declined compared with the previous two quarters. On the one hand, Ruisheng Biology will no longer enjoy the preferential policy of 3% simple value-added tax from May 2025, and will be adjusted to 13%. Moreover, due to the low purchase price of Ruisheng Biology’s raw materials, there is less input tax available for deduction, so it will have a greater impact on revenue and net profit. If we are to enjoy preferential tax policies, then in 2025 In the third quarter of the year, operating income was 29,373,412.86 yuan and net profit was 11,499,272.91 yuan; on the other hand, due to lower market entry barriers and intensified competition, a "price war" was triggered, which led to the price low of Ruisheng Biological's main products in June 2025. In order to further deal with the market problems caused by rapid price cuts in the first half of the year, the relevant impact was concentrated in the third quarter. Although the base date of the evaluation report used in this transaction is June 30, 2025, it was issued by Beijing Zhuoxin Dahua Asset Appraisal Co., Ltd. on September 12, 2025, and the income method evaluation result was used as the final evaluation conclusion. During the evaluation process, the impact of relevant factors on Ruisheng Biology's performance was fully considered, causing the overall valuation to drop from 1.7 billion to 974 million yuan.
The monthly sales changes of Ruisheng Biotech from 2024 to November 2025 are as follows:
The comparison between the assessment’s net profit forecast for Ruisheng Biotech from July to December 2025 and Ruisheng Biotech’s actual performance is as follows:
Unit: RMB 10,000 Pre-planned July-December 2025 Completion ratio July-November 2025
Measured value actual completed amount
Net profit 1,761.73 851.36 48.32%
As shown in the table above, although the net profit completion rate as of November 2025 is less than 50%, it is mainly due to low operating income in October and November (monthly income is less than 2 million), resulting in a slight loss. However, according to the breakdown of Ruisheng Biological's annual sales tasks, as of November 2025, the sales completion rate is close to 90%. And according to the analysis of Ruisheng Biological's monthly sales changes from 2024 to November 2025 in the figure above, its sales clearly show a "pulse" pattern of concentrated sales and shipments at the end of each quarter. Therefore, the fourth quarter performance will be concentrated in December. The current actual operations are in line with expectations, and it is expected to be able to achieve the net profit predicted by the assessment and the 2025 performance commitment target.
The month-on-month changes in the average unit price of Ruisheng Bio-Dental Line products from 2024 to November 2025 are as follows: Monthly 202401 202402 202403 202404 202405 202406 202407 202408 202409 202410 202411 202412 unit price month-on-month change rate - -7% 10% -5% 4% -3% -34% 24% 8% -6% -5% -16%
Monthly 202501 202502 202503 202504 202505 202506 202507 202508 202509 202510 202511 Unit price month-on-month change rate 14% -5% 0% -15% -15% -21% -15% -16% -10% -16% 45%
In March 2024, the State Food and Drug Administration provided additional explanations and categories for exemptions from clinical evaluation, involving Ruisheng Bio's main products bone meal and periosteum. The lowering of the entry threshold has led to an increase in new competitors in the industry, and low-price competition strategies have generally been adopted. Therefore, the prices of Ruisheng Bio's related products have been significantly reduced since July 2024. However, in view of Ruisheng Bio's industry status and brand reputation, it has not had a substantial impact on its performance. However, starting from the second quarter of 2025, the impact of the "price war" caused by the increase in industry competitors began to appear. Product prices in the overall market showed a clear and accelerating downward price trend. Compared with 2024, the overall product price in the industry The general decline rate in 2017 is more than 50%, and the channel prices of dealers have also dropped accordingly since May. The cost and the selling price of Ruisheng Bio to dealers have been inverted. In order to maintain the stability of the core sales channels and ensure the long-term market share of Ruisheng Bio, after a large price reduction in June, Ruisheng Bio further reduced its prices by increasing promotion efforts and shipments from July to October to balance its costs. Therefore, the further decline in unit prices was reflected in the process of financial accounting.
In terms of the overall trend, the price decline of Ruisheng Biological products in the third quarter has narrowed compared with the previous period, and has begun to rebound since November, indicating that the adverse effects of the industry's rapid price cuts in the early period are gradually being digested and weakened. Correspondingly, the selling prices for dealers have also been basically adjusted in place, and the channel prices with dealers have returned to normal price differences. And due to the large overall price reduction in this round (nearly 60%-70%), the overall profit margin of the industry has been compressed, and the gross profit margin has continued to decline. This has reduced the enthusiasm for external capital to participate in industry competition. Since October, only 2 new bone meal registration certificates have been added, and there is no new registration certificate for periosteum; on the other hand, for those that have joined For new competitors, since scale effects have not yet been formed, the "price war" will not be maintained for a long time, and the prices of core competitors have basically remained stable after the third quarter. Therefore, it is judged that the relevant price policies after this adjustment will remain stable for at least half a year, and the "cliff-like" decline in the early stage will not occur again.
The industry has gradually shifted from an era of high gross profits to an era of scale competition driven by cost control and channel efficiency. Ruisheng Biotech will rely on its industry leading position and outstanding cost advantages to offset the adverse effects of downward prices by continuously increasing its market share and support the gradual recovery of revenue growth. The overall situation is basically consistent with the forecast basis provided to the appraisal, so it is reasonable to use the appraisal report as the basis for pricing this transaction. The appraisal forecast is not significantly different from the latest operating performance and trends of Ruisheng Biotech.
Question 2: Regarding transaction necessity and risk exposure.
According to the previous transaction arrangement, Meilun Company should return the transaction price difference of 399 million yuan to the company before January 2026, but it only returned 50 million yuan and chose to pay the debt with shares due to financial constraints. Previously, Meilun Company had fully pledged the remaining 45% equity to the company as a performance commitment guarantee. After this transaction, only 4% of the performance commitment guarantee equity remained.
The company is requested to: (1) Combined with the continued decline in Ruisheng Biological’s performance and changes in the industry, quantitatively analyze the impact of holding relevant debt and equity on the company’s financial status, as well as the company’s main considerations in accepting Meilun’s stock-for-debt plan; (2) Combined with the aforementioned issues and The performance commitment guarantee arrangement after this transaction explains whether the company's risk exposure has increased significantly after this transaction and whether this transaction will help safeguard the interests of the listed company; (3) Combined with the assets, business and credit status of Meilun Company, the flow of funds for the consideration paid, etc., explain the company's When adjusting the plan in September 2025, we fully checked whether Meilun Company has the ability to refund the transaction price difference, whether the company and its actual controller, directors, supervisors, senior management and other related parties have other undisclosed related relationships and interest arrangements with Meilun Company and its related parties, and whether the previous adjustment of the transaction plan and this time of exchanging debt with shares are a package deal.
【Company reply】
(1) Combined with the continued decline in Ruisheng Biological's performance and changes in the industry, quantitative analysis of the impact of holding relevant debts and equity on the company's financial status, as well as the company's main considerations in accepting Meilun's stock-for-debt plan
Although Ruisheng Biological's performance has declined due to the impact of relevant policies and markets, with its leading position in industry segments, it still has great advantages over its competitors in terms of product quality, cost and business scale. Therefore, the adjusted performance commitment (50 million in 2025 and 58 million in 2026) is achievable. For detailed analysis, please refer to the company's announcement in October 2025. Replies to relevant questions in the "Shanghai Haili Biotechnology Co., Ltd.'s Reply to the Shanghai Stock Exchange's "Information Disclosure Supervision Inquiry Letter Regarding Shanghai Haili Biotechnology Co., Ltd.'s 2025 Semi-annual Report" disclosed on March 29 (Announcement No.: 2025-045). When Meilun Management Co., Ltd. (hereinafter referred to as "Meilun Company") clearly cannot repay the loan on time, assuming that Ruisheng Biotech can fulfill its performance commitments, the impact of the company's relevant debt and equity on the financial situation are as follows: Unit: 10,000 yuan
Holding debt (equity 55%) The impact on 2025 of holding 96% equity after paying off the debt
Accounts receivable +34,930 No additional increase
Accrued bad debt provisions (1 year +1,746.5, no additional increase
Within 5%)
Net profit -1,484.525 +200-300 (note)
Impact on 2026
Accounts receivable +34,930 No additional increase
Accrued bad debt provisions (1 to 2 +6,986 No additional increase
20% per year)
Net profit -5,938.10 +2,378
Note: Ruisheng Bio has achieved a net profit of 43.0567 million yuan in the first three quarters. Therefore, the fourth quarter is forecast at 6.9433 million yuan. Considering that the company will convene a shareholders' meeting on December 16, 2025 to review the proposal to acquire a minority stake in Ruisheng Bio, it is expected that the impact of the 41% increase in equity on the company's net profit this year will be 2-3 million yuan.
As analyzed in the table above, if Meilun Company fails to repay on time, the company has a greater risk of unrecoverable accounts receivable. Although it can recover through legal channels, because Meilun Company is an overseas entity, there are difficulties in the actual recovery and execution process, and there is great uncertainty in terms of feasibility and time. Therefore, it is inevitable to accrue a large amount of bad debt provisions, which will inevitably have a greater negative impact on the company's net profit. By accepting the plan of exchanging debt with shares, the above-mentioned risks will be avoided, and the company will have no new investment costs and no new goodwill. Combined with Ruisheng Biological's profitability, it will also have a positive impact on the company's future performance. After the company significantly increases its shareholding ratio in Ruisheng Biotech, we will rely on Ruisheng Biotech's mature management team and sales team to look for new investment and acquisition opportunities in the field of oral regeneration and implantation, which will help realize the transformation and upgrading of the company's main business on a broader platform.
(2) Combined with the aforementioned issues and the performance commitment guarantee arrangements after this transaction, explain whether the company's risk exposure has increased significantly after this transaction, and whether this transaction will help safeguard the interests of the listed company.
Based on the answers to the above questions, if the company does not implement this transaction, the company will face the dual risk of being unable to collect large accounts receivable and being unable to compensate for failure to meet performance commitments. After this transaction, the risk of unrecoverable large accounts receivable can be avoided. At the same time, Meilun Company also agreed to continue to pledge the remaining 4% of the equity (corresponding to an equity value of 38.96 million yuan) to the company and will pay the 5,000 Ten thousand yuan was converted into a deposit to guarantee the performance of its performance commitments and impairment compensation obligations, and the risk exposure did not increase significantly. However, the above situation is based on the premise that Ruisheng Biotech has fulfilled its performance commitments and continued to make profits. If Ruisheng Biotech's performance continues to decline or even suffers a loss, the company's shareholding ratio in it will increase from 55% to 96% after this transaction, and the corresponding negative impact will also increase significantly. Compared with the original 45% of the remaining equity, the performance compensation and impairment protection will also be reduced. From this perspective, the relevant risk exposure will increase. However, after this transaction, Meilun will completely withdraw from the daily operation and management of Ruisheng Bio, and the company's control will be comprehensively strengthened, which will be conducive to overall resource allocation and integration, optimize the unified management of the dental business, improve operational efficiency, promote the smooth achievement and sustained and stable development of Ruisheng Bio, reduce the risk of possible subsequent performance decline or even loss, and better safeguard the interests of listed companies.
(3) Combined with Meilun Company's assets, business and credit status, the flow of funds for consideration paid, etc., explain whether the company fully adjusted Meilun Company's ability to refund the transaction price difference when adjusting the plan in September 2025, whether the company and the actual controller, directors, supervisors and other relevant parties have other undisclosed related relationships and interest arrangements with Meilun Company and its related parties, and whether the previous adjustment of the transaction plan and the current debt repayment with shares are a package deal.
The basic information of Meilun Company is as follows:
Company name MAYLION MANAGEMENT LIMITED
Nature of business: A limited company incorporated in the British Virgin Islands
Palm Grove House, P. O. Box 438, Road Town, Tortola, British Virgin registered address
Islands
Person in charge Zhang Zhengwu (CHEUNG, ChingMo)
Company name MAYLION MANAGEMENT LIMITED
Registered capital USD 50,000
Registration number 1733417
Established on September 13, 2012
Main business investment holding
Equity structure: 100% owned by Zhang Zhengwu
Meilun Company exists in accordance with the law and is operating normally. As of September 30, 2025, Meilun Company's total assets were HK$1,044.6654 million, an increase of 110.24% compared with 2023's total assets of HK$496.8857 million; total equity was 1,028.6102 million Hong Kong dollars, compared with 83,564.8 million in 2023. 10,000 Hong Kong dollars increased by 113.09%. And Mr. Zhang Zhengwu, the same actual controller as Meilun Company, also has related investments in China, including Shaanxi Aierfu Tissue Engineering Co., Ltd., the owner of the office space currently rented by Ruisheng Biotech, and Shenzhen Aineil Corneal Engineering Co., Ltd., which provides relevant testing services to Ruisheng Biotech. The main business of Meilun Company is investment. Based on the growth of its asset scale and the communication during the transaction process, the funds that the company has previously paid for consideration have been mainly used for new investment projects. After inquiry, it was found that Meilun Company and its actual controller, Mr. Zhang Zhengwu, were not the persons subject to execution for breach of trust. Therefore, based on the analysis of the overall asset size and growth of Meilun Company and Mr. Zhang Zhengwu, the company believes that they have the ability to refund the transaction price difference.
Based on Mr. Zhang Zhengwu’s commitment to “regulate and reduce related-party transactions” when the company acquired Ruisheng Biotech, after the completion of major asset purchases, the company newly identified Meilun Company as a related party based on the principle of prudence, resulting in related transactions constituting related-party transactions. However, in fact, Meilun Company, Mr. Zhang Zhengwu and their related parties have no related relationship with the company, its actual controller, directors, supervisors and other related parties, and there are no other undisclosed related relationships and interest arrangements. The "Supplementary Agreement on the Acquisition of 55% Equity Interest in Shaanxi Ruisheng Biotechnology Co., Ltd." signed by the company and Meilun Company did not explicitly stipulate the acquisition of the remaining equity, and after the agreement came into effect, both parties strictly performed in accordance with the agreement. On October 11, 2025, Meilun Company paid the first-phase transaction difference of 50 million yuan, and at the same time on October 27, 2025, On the same day, the change registration procedures for the additional pledge of the remaining equity of Meilun Company to guarantee the fulfillment of the obligation to refund the price difference of the above-mentioned transaction were completed. Until November 21, 2025, after the company received the "Letter of Communication Regarding the Unable to Refund the Transaction Difference on Schedule and Proposal to Compensate with Equity" issued by Meilun Company, in order to avoid the risk of unrecoverable large accounts receivable, it communicated with Meilun Company in a timely manner and accepted its plan to pay off debts with shares. Therefore, the previous adjustment of the transaction plan and the current debt repayment with shares do not constitute a package deal.
Question 3: Regarding the prudence of trading plans.
This transaction is the result of the company changing its previous transaction plan again after changing its transaction plan in September 2025.
The company is requested to: (1) Combined with the continued decline in Ruisheng Biological's performance and the short-term industry change trends, explain whether all the company's directors, supervisors and senior management were diligent and conscientious during the transaction negotiation process, and whether the relevant due diligence work was complete and prudent; (2) Combined with the operation and management model of the target company before and after this transaction, as well as the company's personnel and business management arrangements after the merger of the target company, explain whether the company has the ability to effectively manage Ruisheng Biological and ensure its stable development.
【Company reply】
(1) Combined with the continued decline in Ruisheng Biological’s performance and short-term industry trends, explain whether all the company’s directors, supervisors and senior management are diligent and conscientious during the transaction negotiation process, and whether the relevant due diligence work is complete and prudent
Ruisheng Biological's operating income and net profit from 2020 to November 2025 are as follows:
Unit: 10,000 yuan
2025
Project 2020 2021 2022 2023 2024
January-November
Operating income 3,418.63 6,611.30 11,709.95 22,525.88 26,521.19 11,144.85Net profit 827.57 1,775.21 5,064.97 11,171.89 13,925.21 4,228.06
As shown in the table above, Ruisheng Biotech's operations were stable from 2020 to 2024, and its performance showed a rapid and healthy development trend. Until 2025, its performance declined significantly. The main reasons are as follows:
(1) Due to the influence of national policies, the increase in industry competitors has triggered a "price war", which has caused the overall market product prices to fall rapidly after the second quarter of 2025, and has gradually stabilized until now. The overall decline in this round is as high as 60%-70%. In order to ensure market share, Ruisheng Biotech can only passively reduce prices. Compared with 2024, the negative impact of price reductions on revenue and profits has exceeded 50%;
(2) According to the provisions of Caishui [2014] No. 57, Caishui [2009] No. 9, and the State Administration of Taxation Announcement "2012 No. 20", the key raw materials of Ruisheng Biological's main products are animal tissues. In the past, general taxpayers could apply for a simplified VAT of 3%. Beginning in 2024, the state began to tighten the implementation of this preferential tax policy. Since May 2025, Ruisheng Biology has changed to the general tax calculation method in accordance with tax requirements, that is, levying value-added tax at a rate of 13%. At the same time, due to the lower purchase price of Ruisheng Biological's raw materials and less input tax that can be deducted, the negative impact on Ruisheng Biological's revenue and profit is expected to exceed 7 million yuan.
Therefore, it can be seen that the decline in its performance is indeed affected by relevant external objective factors, rather than problems in its internal production and operations. However, the company has actually discovered and focused on the above-mentioned possible risks during the due diligence process, including but not limited to possible tax risks (failure to pass the review of high-tech enterprises, tightening of implementation of preferential value-added tax rate policies), the occupation of funds by Meilun Company's related parties in Ruisheng Biotech, Ruisheng Biotech The risk of the new plant failing to pass GMP certification and the fact that in March 2024 the Device Evaluation Center of the State Food and Drug Administration added recommended paths for clinical evaluation of related specific products including bone powder and periosteum, which lowered the market entry threshold and may lead to intensified competition, etc., and fully communicated with Meilun Company. Therefore, we can negotiate with Meilun Company in a timely manner when the relevant situation occurs, so that it can agree to a plan to adjust the valuation and refund the transaction price difference, instead of waiting for the expiration of the three-year performance commitment period to communicate about the performance of the performance commitment and impairment compensation obligations, which reduces the investment risk and the risk of failure to achieve the performance commitment and the resulting risk of large amounts of goodwill impairment. Although the plan was changed again in the short term due to the capital turnover problem of Meilun Company, the counterparty was not controllable by the company, but the company always used its remaining 45% equity as a starting point and insisted on requiring it to go through the mortgage procedures, so that this debt-for-equity plan could be implemented and the risk of unrecoverable large accounts receivable was avoided. At the same time, after negotiation, it agreed to convert the previously paid 50 million into a deposit and continue to pledge the remaining 4% of its equity to guarantee the performance of its performance commitments and impairment compensation obligations, thus avoiding an increase in relevant risk exposures. The company's directors, supervisors and senior management always insisted on putting the interests of the company and shareholders first during the transaction negotiation process. The relevant due diligence work was complete and prudent. They considered relevant issues and risks in advance, took the initiative in subsequent negotiations, and effectively safeguarded the interests of the listed company and all shareholders.
(2) Combined with the operation and management model of the target company before and after this transaction, as well as the company’s personnel and business management arrangements for the target company after the merger, explain whether the company has the ability to effectively manage Ruisheng Biotech and ensure its stable development.
A comparison of the relevant changes in the corporate governance of Ruisheng Biotech before and after this transaction is as follows:
Before this transaction After this transaction
There are 3 people on the board of directors, 2 people are nominated by the company, and 3 people are nominated by Meilun Company, all nominated by the company.
1 person, the chairman shall be nominated by the company
take charge of
The general manager shall be appointed by Meilun Company. The person appointed by the company shall serve as the general manager.
Financial Director shall be appointed by the company’s nominee. shall be appointed by the company’s nominee.
The Minister of Finance shall be appointed by the person nominated by Meilun Company. The person appointed by the company shall serve as the Minister of Finance.
As can be seen from the above table, after this transaction, Meilun will completely withdraw from the operation and management of Ruisheng Biotech and will only serve as a small shareholder holding 4% of the shares to perform its obligations and enjoy the rights and interests in accordance with the provisions of Ruisheng Biotech's Articles of Association. The chairman and legal representative of Ruisheng Biotech is Mr. Xiang Xiaoqiang, the company's deputy general manager. Mr. Xiang Xiaoqiang joined Ruisheng Biotech in 2009 and has been its deputy general manager since February 2012, which has been 16 years so far. The financial director is served by Ms. Guo Liping, the company's deputy financial director. Ms. Guo Liping joined Ruisheng Biotech in 2017 and has been here for 8 years. The general manager, Mr. Cui Jieyong, joined Ruisheng Biotech in 2017 and has been in charge since 2018. He has been serving as general manager since 2006 and has been mainly in charge of sales for 8 years. Ruisheng Biological's sales model is stable and has always been focused on distribution. It has a three-level management model of regions, regions and directors, and implements quarterly assessments. The size of the marketing and sales team has remained at around 100 people in the past three years, and the average sales age is more than 4 years. The overall stability. Other core management personnel include: Production Director Mr. Wang Honggang joined the company in 2013 and has been here for 12 years; Quality Director Mr. Ren Guohua joined the company in 2016 and has been here for 9 years; Chief Technology Officer Ms. Qi Meng joined the company in 2020 and has been here for 5 years; Director of Human Resources and Administration Ms. Shi Xiaoyan has been here since 2009 and has been here for 16 years. It can be seen that Ruisheng Biological's sales team and overall management team are stable. They are all professional managers and have no relationship with Meilun Company and Mr. Zhang Zhengwu. There will be no changes in core personnel due to the withdrawal of Meilun Company. After the completion of this transaction, the company can basically achieve complete control over Ruisheng Biotech, which will help the company tilt and integrate more resources into Ruisheng Biotech and promote its further development. At the same time, the company fully implemented the "Haili Biotech Digital Transformation Project" this year, launched the YonSuite enterprise digital management platform, and established a group-based financial and production supply and operation digital system, providing technical support for better management of subsidiaries. Therefore, the company has the ability to effectively manage Ruisheng Biotech and ensure its stable development.
Board of Directors of Shanghai Haili Biotechnology Co., Ltd. December 13, 2025