Muyuan Foods' controlling shareholder releases significant equity pledge

Muyuan Foods Co., Ltd. announced today that its controlling shareholder, Muyuan Industrial Group Co., Ltd., has released a portion of its pledged shares. Specifically, Muyuan Industrial Group released 42,518,000 shares from pledge, representing 5.01% of its total holdings and 0.78% of the company's total share capital. The pledge was originally established on November 11, 2022, and released on December 10, 2025, with China ZUAR Bank Co., Ltd., Nanyang Branch, as the pledgee.

Following this transaction, Muyuan Industrial Group's total pledged shares have decreased from 90,018,000 shares to 47,500,000 shares, now representing 5.60% of its holdings and 0.87% of Muyuan Foods' total share capital. The announcement confirms that the shareholder's creditworthiness is sound and it possesses good debt repayment capabilities. The remaining pledged shares are not considered to pose substantial repayment risk, nor are they currently subject to flat-rate risk or forced liquidation.

The company's total share capital is calculated based on 5,462,771,144 shares as of December 10, 2025, taking into account the "Muyuan Convertible Bonds" currently in their conversion period. This release of pledged shares contributes to a more stable ownership structure and reduces potential financial overhang for the company's key shareholder.