China Galaxy Securities renews financial product transaction agreement with controlling shareholder

China Galaxy Securities Co. announced the signing of a new "Securities and Financial Product Transaction Framework Agreement" with its controlling shareholder, China Galaxy Financial Holdings Co. The agreement, effective from January 1, 2026, to December 31, 2028, will govern daily securities and financial product transactions between the China Galaxy Securities Group and the China Galaxy Financial Holdings Group. This new agreement replaces the previous framework agreement, which expires on December 31, 2025.

Under the new framework, the annual cap for total inflows and outflows of securities and financial products (excluding financing transactions) between China Galaxy Securities and China Galaxy Financial Holdings will be 50 bn yuan. Additionally, the daily maximum outstanding balance for financing provided by China Galaxy Financial Holdings to China Galaxy Securities through repurchase transactions (including interest) will be 53 bn yuan. The company's board of directors, excluding four related party directors, approved the agreement, concluding that the transaction is consistent with market practice and will not harm the interests of the company or its minority shareholders.

China Galaxy Financial Holdings, with a registered capital of 1,289,058.377808 million yuan, holds 47.43% of China Galaxy Securities' shares and is classified as a related party. As of December 31, 2024, China Galaxy Financial Holdings reported total assets of 7,721.05 bn yuan and net assets of 1,685.47 bn yuan, with 2024 operating revenue of 372.63 bn yuan and net profit of 107.40 bn yuan.