China Feihe invests 200m yuan in SPD Bank products

China Feihe Limited announced on October 27, 2025, that its wholly-owned subsidiary, Feihe HLJ, subscribed for 200m yuan in financial products from SPD Bank. These "Shangxin Products" were acquired using idle funds and consist of two tranches of Shangxin Xinyue Fengli Assembled Fund Trust schemes, each worth 100m yuan. Both tranches offer an expected annual return rate of 2.60% and mature on August 18, 2026. The products are non-principal guaranteed with floating returns, categorized as fixed income assets.

This subscription follows a series of previous investments in SPD Bank's financial products, which aggregated to an outstanding principal amount of 2.2bn yuan as of the announcement date. The directors determined the consideration based on commercial terms negotiated at arm’s length, considering the Group's surplus cash and expected investment returns.

The company stated that these subscriptions aim to enhance capital gains, ensure capital safety and liquidity, and meet the Group's operational and dividend needs. The transactions are considered low-risk, offering better returns than traditional savings. Due to the aggregated nature of these transactions, they constitute a discloseable transaction under Chapter 14 of the Listing Rules, requiring notification and announcement but are exempt from shareholders' approval.