Sangfor to reduce capital by cancelling repurchased shares

Sangfor Technologies will cancel 1,255,715 repurchased shares, reducing its total share capital from 421,883,707 shares to 420,627,992 shares and its registered capital from yuan 421,883,707 to yuan 420,627,992. This decision, approved at meetings on August 20, 2025, and November 4, 2025, follows the expiration of the three-year holding period for shares repurchased between March 29, 2022, and March 1, 2023, with no current plans for employee equity incentives.

Creditors are invited to declare their claims within 45 days from November 4, 2025, either in person, by mail, or email. The company assures that undeclared valid claims will still be honored according to original agreements. This capital reduction was approved by 99.9786% of voting shareholders.

The company's ongoing share repurchase program, active since January 15, 2025, has, as of October 31, 2025, bought back 364,900 shares at a total cost of yuan 19,938,676.00. The shares were repurchased at prices ranging from yuan 54.22 to yuan 55.00 per share.