Tianjin Capital Environmental Protection proposes project termination, fund policy changes

Tianjin Capital Environmental Protection Group Company Limited (TCEPGCL) announced an Extraordinary General Meeting (EGM) on December 16, 2025, to consider proposed amendments to its Management Principles on the Use of Proceeds and the termination of certain investment projects. The most notable proposal is the termination of the Chibi Lushui Industrial Park sewage treatment plant and supporting pipeline network concession TOT project ("Chibi Lushui Project"). This project, with an original planned investment of RMB30,100,000, and RMB5,300,000 originally proposed to be funded from proceeds, currently has an accumulative amount invested of RMB0.00 as of July 31, 2025, with an unused balance of RMB53,000,000.

The termination is driven by a confirmation that necessary approvals or filings for the Chibi Lushui Project cannot be obtained within a reasonable timeframe due to reasons beyond the company's control. The Board of Directors and the Audit and Risk Control Committee have approved the termination, deeming it a prudent decision aligned with shareholder interests. Unused proceeds from the terminated project will remain in a special account, managed according to relevant laws.

The proposed amendments to the Management Principles on the Use of Proceeds aim to align the company's capital management with current regulatory rules, including those from the China Securities Regulatory Commission and the Shanghai Stock Exchange. These changes primarily involve clarifying definitions, strengthening oversight on fund utilization, and updating disclosure requirements for cash management and project changes, ensuring efficient and compliant use of raised capital.