Shanghai Liangxin completes divestment of employee stock ownership plan shares

Shanghai Liangxin Electrical Company Limited (002706) confirmed the completion of share reductions for its Strivers No. 2 Employee Stock Ownership Plan. The plan, approved by shareholders on January 20, 2023, involved 12,090,038 shares, representing 1.08% of the company's total share capital. These shares were transferred from the company's buyback account to the plan's dedicated account on February 20, 2023, at a transfer price of 7.00 yuan per share.

The Employee Stock Plan's lock-up period ended on February 21, 2024. However, due to significant changes in the company's operating environment and to optimize employee capital costs, the company decided to prematurely terminate the plan as initial performance conditions were not met. All 12,090,038 shares were subsequently sold through centralized bidding between November 7, 2025, and November 19, 2025.

As of the announcement date, the Employee Stock Plan's assets consist entirely of monetary assets. The company will proceed with the liquidation and distribution of these assets in accordance with the plan's regulations. The company asserts that no insider information was used during the share reduction period, adhering strictly to market trading rules and regulatory requirements.