Core Viewpoint - Fujian Guohang Ocean Transportation (Group) Co., Ltd. has decided to terminate its previously planned $5 million capital increase for its wholly-owned subsidiary, Guodian Shipping (Hong Kong) Co., Ltd., maintaining its registered capital at $5.33 million [1][2]. Background of Capital Increase and Adjustment Reasons - The initial plan was approved on August 22, 2025, to convert $5 million in dividends receivable from Guodian Shipping into an investment in Guodian Shipping (Hong Kong), increasing its registered capital from $5.33 million to $10.33 million [2]. - The decision to terminate the capital increase was made on October 22, 2025, based on two main considerations: the current registered capital of $5.33 million is sufficient for the subsidiary's operational needs, and increasing the capital could elevate operational risks, which contradicts the company's risk management and resource optimization principles [2]. Adjusted Arrangements and Impact on the Company - Following the termination of the capital increase, the registered capital of Guodian Shipping (Hong Kong) will remain at $5.33 million. The company will reassess the capital adjustment plan based on future business development, market demand, and overall strategic layout [3]. - The company emphasized that this adjustment aligns with its strategic development plan and will not significantly impact the financial status of the company or its subsidiaries, nor will it harm the interests of the company and its shareholders, particularly minority shareholders [3].