IKD subsidiary to list on NEEQ, governance overhaul planned

IKD Foehl Precision Technology (Jiangsu) Co., Ltd., a controlled subsidiary of IKD, is pursuing a listing on the NEEQ. Established on September 15, 2005, with a registered capital of 72.837 million yuan, IKD Foehl reported total assets of 461.2592 million yuan and a net profit of 31.3971 million yuan for the first half of 2025 (unaudited). IKD will maintain its controlling stake, with IKD Foehl remaining a consolidated subsidiary post-listing.

This strategic move is expected to bolster IKD Foehl’s corporate governance, standardize operations, and strengthen its core competitiveness, ultimately enhancing asset liquidity and shareholder value for IKD. The listing on NEEQ will not involve any new equity issuance, thus avoiding dilution of existing shareholders' equity.

In tandem with the NEEQ listing, IKD also plans to amend its Articles of Association, including the abolition of the Supervisory Board and the expansion of its Board of Directors to nine members, including six non-independent and three independent directors. These changes, alongside revisions to several internal governance policies, aim to modernize corporate governance in line with updated regulations and enhance decision-making efficiency.