Meili Cloud major shareholder faces forced share sale over debt

MCC Meili Cloud Computing Industry Investment (the Company) announced that its major shareholder, MCC Paper Industry Group Co., Ltd. (MCC Paper), will have part of its shares forcibly executed by judicial order. The Beijing Fourth Intermediate People's Court issued an "Assistance in Enforcement Notice," instructing CITIC Securities Co., Ltd. to assist in the forced execution of 6,952,630 shares held by MCC Paper. This action stems from MCC Paper's inability to repay mature financial loans to Agricultural Bank of China Beijing Shijingshan Branch.

The 6,952,630 shares represent 1.00% of the Company's total share capital. These shares are part of MCC Paper's initial founder's shares. The forced execution is scheduled to occur between September 11, 2025, and October 9, 2025, through a mandatory sale in the secondary market.

Currently, MCC Paper holds 79,131,048 shares, accounting for 11.38% of the Company's total share capital. Of these, 39,565,524 shares are pledged, and all 79,131,048 shares are frozen. The Company confirmed that this judicial enforcement does not involve any prior disclosed commitments or intentions by MCC Paper and is not expected to change the Company's actual control or impact its operations.