Dahua Technology: no insider trading found in Huarui spin-off review

Zhejiang Dahua Technology Co., Ltd. (SZSE:002236) has completed an inquiry into insider trading activities related to the proposed spin-off of its subsidiary, Zhejiang Huarui Technology Co., Ltd., for listing on the main board of the Hong Kong Stock Exchange. The inquiry covered the period from March 28, 2021, to November 17, 2025.

During the self-inspection period, Dahua Technology's share repurchase account traded 33,300,901 shares, identified as normal repurchases unrelated to the spin-off. China International Capital Corporation Limited, acting as independent financial advisor, also reported normal business activities involving Dahua Technology's shares across its proprietary derivatives, margin trading, and asset management accounts, all deemed unrelated to insider information.

The review, including declarations from individuals, found no direct evidence of insider trading. The independent financial advisors and legal counsel have concluded that share trading activities do not constitute a material legal impediment to the spin-off, asserting that all related parties complied with legal and regulatory requirements.