Xizi Clean Energy's controlling shareholder's stake passively diluted

Hangzhou Boiler Group announced that its controlling shareholder, Xizi Elevator Group Co., Ltd., actual controller Mr. Wang Shuifu, and parties acting in concert, including Jinrun (Hong Kong) Co., Ltd., have seen their combined equity interest in Xizi Clean Energy passively diluted from 60.73% to 55.18%. This change, occurring between August 30, 2025, and September 19, 2025, crossed integral multiples of both 1% and 5%.

The dilution resulted from the conversion of 76,323,089 shares of "Xizi Convertible Bonds" into company stock, increasing the total share capital from 759,612,088 shares to 835,935,177 shares. While the number of shares held by the controlling parties remained unchanged, their proportional ownership decreased.

Specifically, Xizi Elevator Group's stake was diluted by 3.47% from 37.96% to 34.49%; Jinrun (Hong Kong) Co., Ltd.'s stake was diluted by 1.95% from 21.30% to 19.35%; and Mr. Wang Shuifu's stake was diluted by 0.13% from 1.47% to 1.34%. The company clarified that this passive dilution will not alter the company's controlling shareholder, actual controller, or the company's governance structure and ongoing operations.