Red Star Macalline announces financial aid, share cancellation, and charter amendments

Red Star Macalline Group Corp. plans to offer financial assistance of up to RMB1,000m to its operational entrusted market partners in 2026, with interest rates not exceeding four times the one-year Loan Prime Rate at contract inception. This initiative aims to support business operations and strengthen partnerships, aligning with the company's strategic growth. The proposal has been approved by the board and awaits shareholder approval, valid through 2026.

Concurrently, the company will cancel 1,044,800 repurchased A-shares, decreasing its registered capital from RMB4,354,732,673 to RMB4,353,687,873. This action is taken as the repurchased shares were not utilized for employee stock ownership plans or equity incentives within the three-year period, demonstrating a commitment to shareholder returns.

The company also anticipates related party transactions for 2026, including up to RMB200m in deposit services and RMB2bn in loan services with Xiamen International Bank, as well as up to RMB500m in direct and sale-and-leaseback transactions with C&D Leasing. These transactions, approved by independent directors and the board, are market-based and support Red Star Macalline’s operational needs while revising specific articles of association to reflect the capital change.