Core Viewpoint - The company has adjusted its total cash dividend distribution for the fiscal year 2024 due to changes in the total share capital resulting from the conversion of convertible bonds [1][4]. Summary by Sections Adjustment of Dividend Distribution - The total cash dividend amount has been adjusted from RMB 55,058,459.16 (including tax) to RMB 63,082,955.87 (including tax) [1][4]. - The adjustment is based on maintaining the per-share distribution ratio, despite changes in the total share capital due to the conversion of convertible bonds [1][4]. Previous Dividend Distribution Plan - The initial plan proposed a cash dividend of RMB 1.17 per 10 shares (including tax), with a total of 470,585,121 shares as of March 31, 2025, leading to a total proposed cash dividend of RMB 201,408,296.78, which represents a percentage of the net profit attributable to shareholders [1][2]. Current Share Capital and Dividend Ratio - As of the announcement date, the total share capital has increased to 539,170,563 shares due to the conversion of 68,585,442 shares from convertible bonds [3][4]. - The total cash dividend for the fiscal year 2024, including previously distributed dividends, now amounts to RMB 209,432,793.49, which is 44.51% of the net profit attributable to shareholders [4].

Core Viewpoint - The China Convertible Bond Index opened lower by 0.02%, indicating a slight decline in the overall market sentiment for convertible bonds [1] Group 1: Performance of Specific Convertible Bonds - Hangzhou Oxygen's convertible bond increased by 3.4%, showing strong performance compared to others [1] - Tianyang's convertible bond rose by 2.8%, reflecting positive investor sentiment [1] - Jiuzhou's convertible bond and Huaxiang's convertible bond both increased by over 1%, indicating a stable interest in these securities [1] Group 2: Decline in Specific Convertible Bonds - Aofei's convertible bond fell by over 1%, suggesting potential concerns among investors [1] - Lizhi's convertible bond and Yanggu's convertible bond both declined by nearly 1%, indicating a slight downturn in their market performance [1]

Group 1 - The Zhongzheng Convertible Bond Index opened lower by 0.04% [1] - Hengbang Convertible Bond and Huaxiang Convertible Bond rose over 1% [1] - Zhongzhuang 2 fell nearly 6%, while Zhongchong 2 and Bohui Convertible Bond dropped over 1% [1]

Core Viewpoint - The company has announced adjustments to its fundraising projects, including changes in investment amounts and the addition of new implementation entities, which are expected to be normal adjustments based on existing resources and market conditions [1][4]. Group 1: Project Adjustments - The total investment for the "Machining Expansion and Component Industry Chain Extension Project" has increased from 56,437.53 thousand yuan to 78,511.92 thousand yuan, with an additional investment of 22,074.39 thousand yuan funded entirely by the company's own funds [2]. - The company will reallocate 1,500.00 thousand yuan of raised funds from the "Intelligent Upgrade of Casting Production Line and R&D Capability Enhancement Project" to the "Machining Expansion and Component Industry Chain Extension Project," supplemented by 1,500.00 thousand yuan from its own funds [2]. - New implementation entities, including Huaxiang Saint Dema (Shanghai) and its wholly-owned subsidiary Huaxiang Automotive Technology Company, will be added alongside existing entities for the execution of the fundraising projects [2]. Group 2: Bond Redemption and Rating - The adjustments have triggered additional redemption clauses for the "Huaxiang Convertible Bonds," allowing bondholders to choose whether to redeem their bonds at a price of 100.58 yuan per bond during the redemption period from May 12 to May 16, 2025 [2][3]. - The company has decided to exercise its right to early redemption of the "Huaxiang Convertible Bonds" due to the stock price meeting the conditions for conditional redemption [3]. - The credit rating agency maintains the company's credit rating at AA- and the outlook at AA-, while closely monitoring the use of raised funds and the progress of the fundraising projects [4].

Meeting Details - The shareholders' meeting was held on May 13, 2025, at the company's conference room in Shanxi Province [1] - The meeting was attended by ordinary shareholders and preferred shareholders with restored voting rights [1] Voting Results - All proposed resolutions were approved with significant majority votes, including: - A total of 355,814,204 votes in favor, representing 99.9347% for the first resolution [1] - The voting results consistently showed over 99.93% approval across multiple resolutions [2][3] Legal Compliance - The meeting's procedures, including the qualifications of attendees and voting processes, were confirmed to comply with the Company Law and other relevant regulations [3]

Core Viewpoint - The announcement indicates a decrease in the shareholding percentage of the major shareholder, Shanxi Linfen Huaxiang Industrial Co., Ltd., from 58.58% to 57.75% due to the dilution effect of convertible bonds [1][2]. Group 1: Shareholding Changes - The major shareholder's equity change direction is a decrease [1]. - The shareholding percentage before the change was 58.58%, and after the change, it is 57.75% [1]. - The change does not violate any commitments or trigger mandatory tender offer obligations [1]. Group 2: Shareholder Information - The information disclosing party is Shanxi Linfen Huaxiang Industrial Co., Ltd., which is the controlling shareholder [1]. - There are no other parties acting in concert with the major shareholder [1]. Group 3: Details of Equity Change - The number of shares held before the change was 29,778.4820 million shares, and it remains the same after the change [1]. - The equity change is attributed to the dilution effect from the convertible bonds currently in the conversion period [1].

Core Points - The cumulative conversion of "Hua Xiang Convertible Bonds" reached 10.3146% of the company's total issued shares before conversion as of May 9, 2025, with a total conversion amount of RMB 525,336,000 and a total of 45,090,219 shares converted [1][5] - The total amount of unconverted convertible bonds as of May 9, 2025, is RMB 274,664,000, accounting for 34.33% of the total issuance [5] Convertible Bond Issuance Overview - The company issued 8,000,000 convertible bonds on December 22, 2021, with a total amount of RMB 80,000 million, netting RMB 786,510,715.10 after deducting issuance costs [1][2] - The bonds have a term of six years, from December 22, 2021, to December 21, 2027, with a coupon rate starting at 0.4% in the first year [1][2] Conversion Price Adjustments - The initial conversion price was set at RMB 12.97 per share, adjusted to RMB 12.98 after a stock buyback on March 17, 2022, and further adjusted to RMB 12.75 after a cash dividend distribution on June 14, 2022 [2] - Subsequent adjustments were made to the conversion price, reaching RMB 12.57 after a cash dividend on June 21, 2023, and RMB 12.26 after a cash dividend on May 31, 2024 [3][4] Share Capital Changes - As of May 9, 2025, the total share capital increased from 470,585,121 shares to 515,648,025 shares due to the conversion of bonds, with 45,062,904 new shares issued [5] - The number of unrestricted circulating shares increased from 436,300,582 to 481,363,486 shares following the conversion [5] Shareholder Changes - The conversion of bonds resulted in changes to the shareholding ratios of major shareholders, with specific details provided in the company's announcements [5]

Group 1 - The stock price of Huaxiang Co., Ltd. (603112) closed at 16.22 yuan on May 9, 2025, down 2.82% with a turnover rate of 8.25% and a trading volume of 391,100 shares, amounting to a total transaction value of 645 million yuan [1] - On May 9, 2025, the net outflow of main funds was 16.34 million yuan, accounting for 2.53% of the total transaction value, while the net inflow of speculative funds was 24.09 million yuan, accounting for 3.73% of the total transaction value, and the net outflow of retail funds was 7.75 million yuan, accounting for 1.2% of the total transaction value [2][4] Group 2 - The "Huaxiang Convertible Bond" holders can choose to sell back their bonds from May 12 to May 16, 2025, at a repurchase price of 100.58 yuan per bond (including current interest), during which the convertible bond will stop converting [2][4] - The company held its first bondholders meeting and second extraordinary shareholders meeting on April 29, 2025, where it approved adjustments to investment amounts for certain fundraising projects and the use of part of the raised funds for capital contributions to its controlling subsidiary [2]

Core Viewpoint - The company has announced a second notice regarding the optional redemption of its convertible bonds, allowing bondholders to sell back part or all of their unconverted bonds at a specified price, with the redemption period set from May 12 to May 16, 2025 [1][2][3]. Redemption Terms - Bondholders can choose to redeem their convertible bonds at a price of 100.58 RMB per bond, which includes accrued interest [3][5]. - The accrued interest is calculated based on a coupon rate of 1.5% for 141 days, resulting in approximately 0.58 RMB per bond [5][4]. - The redemption funds will be disbursed on May 21, 2025 [11]. Redemption Process - The redemption period is from May 12 to May 16, 2025, during which bondholders must submit their redemption requests through the Shanghai Stock Exchange system [9][7]. - If a redemption request is not successful on the first day, bondholders can continue to submit requests on subsequent days within the redemption period [8]. Trading During Redemption - The convertible bonds will continue to be traded during the redemption period, but conversion into shares will be suspended [13]. - If the total face value of the bonds in circulation falls below 30 million RMB due to redemptions, trading will still continue until the end of the redemption period [13]. Shareholding Changes - The issuance of convertible bonds has led to an increase in the total number of shares, resulting in a dilution of shareholding percentages for major shareholders, with the controlling shareholder's stake decreasing from 59.07% to 58.58% [17][20]. - The changes in shareholding do not trigger a mandatory takeover bid and do not alter the control of the company [18][21].

Group 1 - The China Securities Convertible Bond Index increased by 0.59% [1] - The top gainers included Hao 24 Convertible Bond, Huaxiang Convertible Bond, and Huicheng Convertible Bond, which rose by 18.03%, 11.00%, and 10.81% respectively [1] - Conversely, the Kexing Convertible Bond and Jingzhuang Convertible Bond experienced declines of 4.37% and 2.61% respectively [1]