Huaxia Bank to hold EGM on major related party transactions

Huaxia Bank announced independent directors' approval of related party transactions involving the bank, its directors, supervisors, and senior management. This also includes a proposed daily related party transaction with Bank of Beijing Co., Ltd. for a total of 1.398 bn yuan. The independent directors confirmed these transactions adhere to commercial principles and regulatory requirements, do not harm the interests of the bank or its shareholders, and have no material adverse impact on the bank's financial condition or independence.

The proposed daily related party transaction with Bank of Beijing includes 450 bn yuan for credit-related transactions and 948 bn yuan for non-credit-related transactions. Given this amount exceeds 5% of Huaxia Bank's most recent audited net assets, it will be submitted for approval at a shareholders' meeting. The independent directors supported this motion, which has already cleared the bank's Related Party Transaction Control Committee and an independent directors' special meeting.

Huaxia Bank will convene its second extraordinary general meeting of 2025 on December 26, 2025, in Beijing. Shareholders will vote on the 2025 interim profit distribution plan and the proposed daily related party transaction with Bank of Beijing. Yang Shujian, the chairman, will abstain from voting on the related party transaction with Bank of Beijing due to his association with the counterparty.