GLOBAL NEW MAT (06616): Chongqing International plans to invest 500 million yuan in Qise Lu Village.

GLOBAL NEW MAT (06616) announced that on May 24, 2025, Qise Lu Zhai (an indirectly non-wholly-owned subsidiary) entered into a capital increase agreement with Chongqing International (acting on behalf of and representing a trust). According to this agreement, Chongqing International agreed to inject 500 million RMB into Qise Lu Zhai, of which 131.159 million RMB will be used to increase its registered capital, and 487 million RMB will be used for its capital reserves. After completion, Qise Lu Zhai's registered capital will increase from 131 million RMB to 144 million RMB, with existing shareholders holding approximately 90.91% and Chongqing International holding approximately 9.09%. Following completion, the Group's actual equity interest in Qise Lu Zhai will be diluted from approximately 52.22% to approximately 47.48%. However, as the Group will maintain control over the board structure and daily operational management of Qise Lu Zhai, it will continue to be treated as a non-wholly-owned subsidiary in the Group's financial statements, and its financial performance will continue to be consolidated in the Group's financial statements. The announcement stated that the capital injection will allow the Group to raise more funds without increasing its leverage, thereby providing funding for the Group's future business expansion and exploration of investment opportunities in the industries it is currently engaged in. This capital increase is deemed appropriate and suitable as it will also facilitate the growth of the Group's existing business flows, including conducting marketing activities, improving product and service quality, expanding sales channels, building new production facilities, and consolidating its leading and outstanding position in the synthetic mica industry in China.