Hengdian group holdings to reduce stake in DMEGC

Hengdian Group Holdings, the controlling shareholder of Hengdian Group DMEGC Magnetics, announced its intention to reduce its stake in the company. As of the disclosure date, Hengdian Group Holdings owns 823 million shares, representing 50.59% of the company's total share capital. The planned reduction will involve up to 16.26 million shares, accounting for 1% of the total share capital.

The share reduction will occur through concentrated bidding or block trades within a three-month period, commencing 15 trading days after the announcement's disclosure, specifically from January 19, 2026, to April 17, 2026. The shares to be divested originate from those held before the company's initial public offering, with the primary reason cited as operational needs.

The share price will be determined based on market conditions at the time of the transactions. Hengdian Group Holdings has affirmed its adherence to prior commitments made in the company's IPO prospectus, ensuring no inconsistency with previously disclosed intentions. The company also confirmed that the planned reduction will not alter control or impact its governance structure.