Fangda Carbon: Returning idle funds, reallocating capital for operations

Fangda Carbon New Material Co., Ltd. announced the full return of 1 billion yuan in idle raised funds that were temporarily used to supplement working capital by August 26, 2025. This return fulfills a board resolution from August 28, 2024. The company further disclosed the return of an additional 250 million yuan in idle raised funds by the same date, following a board resolution from May 23, 2025. These funds had been earmarked for temporary working capital supplementation for periods not exceeding 12 months.

Concurrent with these returns, Fangda Carbon's board also approved the use of up to 950 million yuan in idle raised funds for temporary working capital, with a utilization period not exceeding 12 months. This strategic move aims to optimize the use of raised funds, reduce financial costs, and lower operating expenses, all while ensuring the continued progress and security of existing investment projects. The company's financial reports also indicate ongoing investments in green factory construction and smart equipment upgrades, with 4,166.99 million yuan (including interest) invested in these projects by June 30, 2025.

These actions, including the establishment of new dedicated bank accounts for raised funds and the reallocation of idle capital, were reviewed and approved by the company's board and supervisory board, and received no objections from its sponsor institution, confirming compliance with regulatory requirements. The board emphasizes that the new allocation will not alter the original investment direction or negatively impact the investment plan, prioritizing the interests of all shareholders.