Dazhong Public Utilities subsidiary secures RMB40m factoring deal

Dazhong Factoring, a subsidiary of Shanghai Dazhong Public Utilities (Group) Co., Ltd., signed a domestic factoring business contract with Dazhong Wanxiang on August 29, 2025. This agreement provides Dazhong Wanxiang with a factoring financing limit of up to RMB40 million for no more than 12 months, at an annual interest rate of 4.9% and a one-off handling charge of 1% (RMB400,000). Dazhong Wanxiang is a connected person as it is a subsidiary of Dazhong Business Management, a substantial shareholder.

This transaction is considered a connected transaction under the listing rules. Similar transactions with Dazhong Wanxiang over the past 12 months (totaling RMB50 million in financing and RMB0.50 million in handling charges) result in an aggregated percentage ratio between 0.1% and 5%. The transaction requires an announcement but is exempt from circular and independent shareholders' approval requirements.

The board of directors also approved revisions to the "Work Rules of the Audit Committee," outlining its responsibilities in overseeing financial information, internal controls, and external audits for the company.