POWER HF(SH:605100) Zheng Quan Zhi Xing·2025-08-27 10:16Core Viewpoint - The legal opinion letter from Shanghai Jintiancheng Law Firm addresses the conditions under which Huafeng Power Co., Ltd. will repurchase and cancel part of its restricted stock due to unmet performance conditions in the 2024 incentive plan [3][11]. Group 1: Approval and Authorization - On June 24, 2024, the company's board of directors approved the relevant proposals regarding the 2024 restricted stock incentive plan [7]. - The supervisory board also approved the proposals on the same day, confirming the list of incentive objects [8]. - The company conducted a public announcement regarding the incentive objects from June 26 to July 5, 2024, with no objections received [9]. Group 2: Repurchase and Cancellation Details - The repurchase involves 402,000 shares of restricted stock from 31 incentive objects who did not meet the conditions for lifting restrictions [11][13]. - The repurchase price was adjusted to 5.71 yuan per share, including bank interest, based on the company's 2024 semi-annual and annual profit distribution [11][15]. - The initial grant price for the restricted stock was 6.11 yuan per share [13]. Group 3: Performance Conditions - The first performance condition for lifting restrictions required a revenue growth rate of no less than 30% and a net profit growth rate of no less than 16% for 2024, based on the average values from 2021 to 2023 [12]. - Due to the company's failure to meet these performance targets, the first lifting of restrictions did not occur [12]. Group 4: Legal Compliance - The law firm confirmed that the repurchase and cancellation of restricted stock complies with the relevant regulations and the company's incentive plan [15][16]. - The company is required to fulfill its information disclosure obligations and complete the necessary procedures for share repurchase and capital reduction [16].