EVERG VEHICLE (00708): Guangzhou Joli is wholly owned by six Chinese provincial or local state-owned enterprises.

EVERG VEHICLE (00708) announced that, as disclosed in the announcement in August 2024, its related subsidiary companies have entered into bankruptcy reorganization proceedings (the "proceedings"). Pursuant to the proceedings, a manager (the "manager") has been appointed to take control, management, and operation of the related subsidiary companies, including formulating bankruptcy reorganization plans for the companies and implementing those plans after approval by the relevant local people's court. On November 22, 2025, the Company learned from news reports that the registered shareholders of the related subsidiary companies have been changed from members of the Group to Guangzhou Joli Modern Industry Development Co., Ltd. (Guangzhou Joli). After conducting an inquiry, the manager confirmed that, in accordance with the bankruptcy reorganization plan approved by the relevant local people's court, the Group's equity in the related subsidiary companies was cancelled, and all the shares of the related subsidiary companies were registered in the name of Guangzhou Joli on November 18, 2025. Due to the plan and the change in the shareholders of the related subsidiary companies, the Group did not receive any cash consideration. Based on the latest information available to the Company, the Company's directors are well aware of the following: (i) Guangzhou Joli is fully owned by six Chinese provincial or local state-owned enterprises and is a third party and not a connected person of the Company (as defined in the Listing Rules of The Stock Exchange of Hong Kong Limited); (ii) The related subsidiary companies are mainly engaged in the manufacturing of intelligent mobile devices; (iii) As of June 30, 2024, New Energy Vehicles Guangdong had a registered capital of RMB 5 billion, and the manager reported to the court that as of April 7, 2025, the total amount claimed by creditors against New Energy Vehicles Guangdong was approximately RMB 7.622 billion, and the assessed liquidation value of New Energy Vehicles Guangdong was approximately RMB 1.373 billion; and (iv) As of June 30, 2024, Intelligent Vehicles Guangdong had a registered capital of RMB 2.5 billion, and the manager reported to the court that as of April 7, 2025, the total amount claimed by creditors against Intelligent Vehicles Guangdong was approximately RMB 5.253 billion, and the assessed liquidation value of Intelligent Vehicles Guangdong was approximately RMB 1.082 billion. In addition, trading in the company's shares remains suspended.