Core Viewpoint - Nanhua Futures Co., Ltd. has approved a capital increase of HKD 1.203 billion (RMB 1.072 billion) for its wholly-owned subsidiary, Henghua International, to strengthen its overseas operations and enhance competitiveness in global markets [1] Group 1: Capital Increase Details - The capital increase was approved during the fifth meeting of the fifth board of directors held on February 9, 2026, with a unanimous vote of 9 in favor, 0 against, and 0 abstentions [1] - The investment amount is HKD 1.203 billion, equivalent to RMB 1.072 billion, based on the exchange rate of 1 HKD = 0.89080 RMB as of February 6, 2026 [1] Group 2: Purpose of the Capital Increase - The funds will be used to enhance the capital base of the overseas subsidiaries in Hong Kong, the UK, the US, and Singapore [1] - The capital increase aims to further expand the company's overseas business, optimize its overseas business structure, and improve its competitiveness and risk response capabilities in the global market [1] Group 3: Compliance and Shareholder Interests - The capital increase does not alter the intended use of the raised funds and does not conflict with the implementation plan of the fundraising projects [1] - There are no indications of changing the direction of the raised funds in a manner that would harm shareholder interests [1]