GR LIFE STYLE (00108) responds to the high concentration of equity, stating that the public holding is not less than 25%.

GR LIFE STYLE (00108) announced that the company is aware that the Securities and Futures Commission (SFC) issued a notice on December 22, 2025. According to the SFC notice, the SFC recently conducted an inquiry into the company's shareholding structure. The inquiry results showed that on December 9, 2025, a total of ten shareholders and their associated persons collectively held 548 million shares, equivalent to 17.02% of the issued shares. Additionally, 430 million shares (13.36% of the issued shares) were held by shareholders who acquired the shares directly or indirectly from Hong Rui International Investment (Hong Kong) Limited through off-market transactions. Together with the shares held or deemed to be held by the company's two major shareholders, totaling 1.953 billion shares (60.66% of the issued shares), equivalent to 91.04% of the issued shares. Therefore, only 288.6 million shares (8.96% of the issued shares) were held by other shareholders. In response to the SFC notice, the directors provide the following supplemental information: 1. Based on all reasonable inquiries made by the directors, the ten shareholders and their respective associated persons who collectively held 548 million shares (17.02% of the issued shares) on December 9, 2025 were all independent third parties and not connected persons of the company or its associated persons (including Mr. Wei and Mr. Sun). 2. The company is aware that Hong Rui International Investment (Hong Kong) Limited entered into a placement agreement on October 27, 2025, with an independent placing agent to place 430 million shares (13.36% of the issued shares). When the placement was completed on November 14, 2025, a total of 21 subscribers subscribed for the placed shares. Based on all reasonable inquiries made by the directors, the 21 subscribers were all independent third parties and not connected persons of the company or its associated persons (including Mr. Wei and Mr. Sun). Based on available information and the directors' reasonable inquiries, the company confirms that on December 9, 2025, and as of the date of this announcement, at least 25% of the company's issued shares are held by the public, allowing the company to comply with the public float requirements stipulated by the Listing Rules of the Stock Exchange.