Group 1 - Company announced a capital operation involving a debt-to-equity conversion of 277 million yuan to optimize the asset-liability structure of its subsidiary Zhongji Peixian [1][2] - The completion of the energy internet project in Susong, funded by the 2016 non-public offering, has been officially concluded, meeting the expected standards [2][3] - The total amount of raised funds by the company, including the net amount from the 2016 non-public offering and the remaining balance from the IPO, is approximately 959 million yuan, with about 161 million yuan remaining [3] Group 2 - The company is currently involved in a deposit dispute with Shanghai Pudong Development Bank, amounting to 295 million yuan, of which 125 million yuan is raised funds [3] - The dispute has entered the enforcement stage, affecting the company's ability to replenish its liquidity with the remaining raised funds [3]

Group 1 - The company held its 10th meeting of the 6th Supervisory Board on July 7, 2025, which complied with the Company Law and Articles of Association [1] - The Supervisory Board approved the conclusion of the "Energy Internet Smart Application Demonstration Project," stating it aligns with regulatory requirements and the company's operational needs, enhancing liquidity and reducing financing costs [1] - The proposal for capital increase through debt-to-equity swap to a wholly-owned subsidiary was also approved, aimed at optimizing the asset-liability structure and facilitating future asset disposal [1]

Core Viewpoint - The company plans to conclude the fundraising project "Energy Internet Smart Application Susong Demonstration Project" after it has reached the expected usable status and met the completion standards [1][6][7]. Fundraising Basic Situation - The company raised a total of approximately RMB 936.14 million through a non-public offering of 35,991,649 shares at a price of RMB 26.01 per share in 2016 [1]. - The net amount of funds raised after deducting underwriting fees was approximately RMB 914.62 million [1]. Fundraising Management and Usage - The company established a fundraising management system to ensure the proper use of raised funds, including signing tripartite supervision agreements with banks [2][4]. - The company has made several changes to the special accounts for managing the raised funds to enhance efficiency [3][4]. Project Completion Situation - The "Energy Internet Smart Application Susong Demonstration Project" has been fully funded, with a total investment of RMB 7.6 million, exceeding the planned investment of RMB 7.52 million [6][8]. - The project has achieved its intended objectives and is ready for completion [6][7]. Impact of Project Completion - The conclusion of the fundraising project is expected to improve the company's capital utilization efficiency and operational capacity, benefiting long-term development without harming shareholder interests [7][10]. Remaining Fund Usage Issues - The company is currently involved in a legal dispute regarding RMB 295 million in deposits, including RMB 125 million of raised funds, which may affect the immediate availability of remaining funds [9]. - The company is actively monitoring the situation and will disclose updates as necessary [9]. Decision-Making Procedures - The decision to conclude the fundraising project was approved in meetings held on July 7, 2025, and is pending shareholder approval [10]. - The supervisory board and the sponsor institution have expressed that the decision aligns with regulatory requirements and the company's operational needs [10].

Core Viewpoint - The company has completed the investment project "Energy Internet Smart Application Demonstration Project in Susong" and is now proceeding to conclude the fundraising project [1][8][14] Fundraising Overview - The company raised a total of RMB 936,142,790.49 through a private placement of 35,991,649 shares at a price of RMB 26.01 per share, with a net amount of RMB 914,618,047.89 after deducting underwriting fees [1][2] - The funds were managed in accordance with relevant laws and regulations, with a dedicated management system established to ensure proper usage [2][5] Fund Management and Usage - The company has established special accounts for the management of the raised funds, ensuring that the funds are used exclusively for their intended purposes [2][5] - The total investment amount for the "Energy Internet Smart Application Demonstration Project in Susong" was RMB 7,600.72 million, with a completion rate of 101% [8][11] Project Conclusion Reasons - The project has reached its intended operational status and met the criteria for conclusion, reflecting effective management and execution of the fundraising project [8][14] Impact of Project Conclusion - The conclusion of the project is seen as a rational decision that enhances the company's operational capacity without harming shareholder interests, contributing positively to the company's long-term development [8][14] Remaining Fund Usage Issues - The company has a remaining balance of RMB 161,522,730.81 in unused funds, which includes RMB 155 million in cash management and RMB 6,522,730.81 in special accounts [9][12] - There are ongoing legal issues regarding a portion of the funds that have been frozen due to a dispute with a bank, which the company is actively addressing [12][13] Future Fund Usage Plans - Once the legal issues are resolved, the company plans to use the remaining funds to supplement its working capital for operations related to its main business [13][14]