Core Viewpoint - The report details the fundraising status and usage of funds by Heilongjiang Publishing Media Co., Ltd. as of June 30, 2025, highlighting the total amount raised, the allocation of funds, and the management practices in place to ensure compliance with regulations [1][2]. Fundraising Overview - The actual amount raised through the public offering was RMB 228,806,523.25, with a net amount after expenses of RMB 37,415,702.30 [1]. - As of June 30, 2025, the company had a remaining balance of RMB 92,925,216.70 in its fundraising account, which includes interest income of RMB 9,047,548.92 [1][2]. Fund Usage and Management - The total amount invested from the raised funds was RMB 144,927,751.49, with RMB 2,943,025.17 invested in the first half of 2025 [1][2]. - The company has established a dedicated management system for the raised funds, ensuring they are stored in special accounts and used according to regulatory guidelines [1][2]. Project Status and Adjustments - Several projects funded by the raised capital, including the Publishing Building Project and the Premium Publishing Project, have reached their intended operational status, leading to the conclusion of these projects [2][3]. - The company has decided to change the focus of the "Smart Education Cloud Platform Upgrade Project" to the "Longban Media Comprehensive Service Platform Project" due to significant changes in feasibility and market conditions [5][6]. Financial Adjustments and Future Plans - The company plans to permanently supplement working capital with surplus funds from completed projects, ensuring efficient use of resources [2][3]. - The timeline for the "New China Bookstore Store Upgrade Project" has been adjusted to December 2026, with a focus on two major center stores in Harbin [2][3].

Core Viewpoint - Heilongjiang Publishing Media Co., Ltd. plans to use part of the raised funds amounting to 20.1079 million yuan to increase capital in its wholly-owned subsidiary for the implementation of the "Xinhua Bookstore Store Operation Upgrade and Renovation Project" [1][5]. Fundraising Basic Situation - The company was approved to issue no more than 44.44445 million shares, with a net fundraising amount of 228.8065 million yuan after deducting issuance costs [1][2]. Fundraising Investment Project Situation - The total amount allocated for various projects includes: - Boutique Publishing Project: 24,796,047.59 yuan - Xinhua Bookstore Store Operation Upgrade Project: 40,107,890.41 yuan - Printing Equipment Upgrade Project: 47,777,463.15 yuan - Publishing Building Project: 66,376,025.49 yuan - Total: 228,806,523.25 yuan [3]. Capital Increase Situation - The company will increase capital by 20.1079 million yuan to its subsidiary Heilongjiang Xinhua Bookstore Group Co., Ltd., which will further increase capital to its wholly-owned subsidiary Heilongjiang Province Xinhua Bookstore Chain Co., Ltd. for the specific implementation of the project [3][4]. Purpose and Impact of Capital Increase - The capital increase is based on the actual needs of the fundraising project post-IPO, ensuring the smooth implementation of the project and aligning with the fundraising usage arrangements [4][5]. Fundraising Management After Capital Increase - The company and its subsidiary have opened special accounts for the storage of raised funds, ensuring compliance with relevant regulations [4][5]. Decision-Making Process - The board of directors and the supervisory board approved the capital increase on July 21, 2025, in accordance with relevant regulations [5][6]. Other Matters - The capital increase does not require shareholder meeting approval as it does not meet the criteria for such a review, and it does not constitute a related party transaction or a major asset restructuring [7].

Core Viewpoint - The company, Heilongjiang Publishing Media Co., Ltd. (龙版传媒), is utilizing part of its raised funds to increase capital in its wholly-owned subsidiary, Heilongjiang Xinhua Bookstore Group Co., Ltd., to implement investment projects, ensuring the smooth execution of these projects and aligning with regulatory requirements [1][2][9]. Fundraising Overview - The company was approved to issue up to 44,444,445 shares, raising a net amount of RMB 228,806,523.25 after deducting issuance costs [1][2]. - The raised funds will be allocated to various projects, including: - Boutique Publishing Project: RMB 24,796,047.59 - Comprehensive Service Platform Project: RMB 49,749,096.61 - Xinhua Bookstore Store Upgrade Project: RMB 40,107,890.41 - Printing Equipment Upgrade Project: RMB 47,777,463.15 - Publishing Building Project: RMB 66,376,025.49 [2]. Capital Increase Details - The company plans to use RMB 20,107,900 (2,010.79 million) to increase capital in Heilongjiang Xinhua Bookstore Group, which will further invest the same amount in its subsidiary, Heilongjiang Province Xinhua Bookstore Chain Co., Ltd., for the store upgrade project [2][4]. Subsidiary Information - Heilongjiang Xinhua Bookstore Group engages in various activities, including internet sales of publications and textbook distribution, with total assets of approximately RMB 3.6 billion and net assets of about RMB 2.2 billion [3][4]. - Heilongjiang Province Xinhua Bookstore Chain Co., Ltd. has total assets of approximately RMB 258.73 million and reported a net profit of RMB 4.2 million [5][7]. Purpose and Impact of Capital Increase - The capital increase aims to meet the actual needs of the investment projects post-IPO, ensuring their successful implementation and compliance with fundraising usage arrangements [6][8]. - The company maintains a 100% ownership stake in the subsidiaries post-capital increase, ensuring no adverse impact on shareholder interests [6][9]. Management of Raised Funds - The company and its subsidiary have established dedicated accounts for the management of raised funds, adhering to regulatory guidelines to ensure the safety of fund usage [8]. Approval Process - The capital increase proposal was approved by the company's board and supervisory committee, aligning with relevant regulations and ensuring no detrimental effects on the company [8][9].