Huagong Tech invests in venture fund amid stock volatility

Huagong Tech's stock saw abnormal trading, with its closing price deviation from increase exceeding 20% over three consecutive trading days from September 11 to September 15, 2025. The company stated its operations are normal, with no undisclosed major information or changes in its business environment. No insider trading by the company’s controlling shareholders, actual controllers, directors, supervisors, or senior management occurred during this period.

Concurrently, on September 15, 2025, Huagong Tech announced that its wholly-owned subsidiary, Wuhan Huagong Tech Investment Management Co., Ltd., will invest up to CNY 7,650.00万元 in the Wuhan Huagong Ruiyuan No. 2 Venture Capital Investment Fund Partnership (Limited Partnership), holding 21.86% of its property share. This constitutes a related party transaction. The fund, with a target size of CNY 5亿元 and a first-phase contribution of CNY 3.5亿元, will focus on high-end equipment, intelligent manufacturing, optoelectronics, new energy, new materials, sensors, and semiconductors.

The investment involves several related parties due to overlapping directorships and indirect control by Huagong Tech’s indirect controlling shareholder, Wuhan Industrial Investment Holding Group Co., Ltd. The investment aims to deepen innovation synergy, leveraging Wuhan's scientific and technological resources, and is aligned with the company’s development strategy. The company acknowledges potential risks, including investment failure, and will monitor the fund's operations closely.