Shenzhen Kaifa approves first stock option exercise period

Shenzhen Kaifa Technology announced on September 22, 2025, that the first exercise period conditions for the reserved portion of its 2022 stock option incentive plan have been achieved. The plan allows 57 eligible employees to exercise 2,350,722 stock options at an exercise price of CNY 17.07 per share, representing 0.1496% of the company's current total share capital. The company will issue new A-shares to fulfill these options.

The independent financial advisor, Shanghai Rongzheng Enterprise Consulting Services (Group) Co., Ltd., confirmed that the exercise conditions, including company-level and individual performance targets, have been met. For 2023, the company's net asset cash return (EOE) was 13.52%, and net profit compound growth rate (based on 2021) was 36.98%, both exceeding plan requirements.

Separately, the company will cancel 440,538 stock options from the reserved grant portion. This cancellation is due to 13 employees no longer meeting eligibility requirements and two employees whose individual performance assessments for the first exercise period were rated 'C,' resulting in a 0.8 exercise ratio instead of 1.0. This adjustment aligns with the initial incentive plan, and the company confirmed no material impact on its financial position or operations.