Zhejiang XCC Group subsidiary to welcome new aerospace bearing investors

Zhejiang XCC Group announced its wholly-owned subsidiary, Xinchun Aerospace, will introduce new investors: Tianjin Yunhui Wanchuan, Xinchang Shenghang, and Hangzhou Qihang New Material Technology. This strategic move will increase Xinchun Aerospace's registered capital from CNY24.50 million to CNY32.6667 million, reducing Zhejiang XCC Group's stake from 100% to 57%, though it will remain the controlling shareholder. Xinchang Shenghang's involvement constitutes a related-party transaction.

Concurrently, the company is updating its accounting estimate for bad debt provisions on intercompany receivables, effective September 1, 2025, to better reflect financial health and streamline processes. Zhejiang XCC Group has also approved revisions to its Articles of Association, cancelling the Supervisory Board and transferring its functions to the Board of Directors' Audit Committee. These changes are designed to optimize corporate governance and align with regulatory updates.

Additionally, the company is seeking shareholder authorization for its Board of Directors to formulate and implement interim dividend distribution plans for 2025, subject to profitability and cash flow conditions.