Shenzhen Woer Heat-shrinkable Material (09981) signs investment agreement with Shanghai Kote and Committee with a total investment of about 1.2 billion yuan.

Shenzhen Woer Heat-shrinkable Material (09981) announced that on March 31, 2026, Shanghai KeTe (the company's indirect non-wholly owned subsidiary) signed an investment agreement with the committee. Shanghai KeTe conditionally agreed to invest in the project, while the committee conditionally agreed to assist Shanghai KeTe in implementing the project after Shanghai KeTe acquires the land use rights for the project through bidding and purchasing. The project can only proceed after Shanghai KeTe successfully acquires the land use rights through the bidding process. The project will involve the construction of a new production base on the land, planning for research and development laboratories, production workshops, office space, and other supporting facilities, primarily for the research and production of new energy protection products, electronic components, refractory special materials, and aerogel products. The total investment in the project is approximately 1.2 billion yuan, including but not limited to land purchase, factory construction, and purchase of production equipment. The investment amount is determined based on the scale of the project and considering the cost of factory and supporting facilities construction, production equipment input, and other factors. The investment amount will be disbursed from the group's internal resources and not from the proceeds of global sales. The new energy protection products, electronic components, refractory special materials, and aerogel products produced by this investment project belong to the high-performance polymer materials industry, and can be widely applied in areas such as new energy vehicles, electrical wires and cables, and consumer electronics. They are key basic materials in the field of new materials, which is one of the key areas listed in the industrial "Four Bases" directory and aligns with national strategic positioning and industry development plans. With the rapid development of the new energy vehicle industry and the continued expansion of power battery shipments, it is favorable for the continuous growth of the market size of new energy protection products. The location of this investment project is in the Dushan Port Economic Development Zone in Zhejiang Province, adjacent to the headquarters of Shanghai KeTe. Through the construction of this project, it can effectively enhance the cooperation between Shanghai KeTe's research and development, manufacturing, and sales departments, achieve resource integration and centralized management, and thereby improve overall manufacturing capabilities and research and development efficiency. As Shanghai KeTe's market business continues to grow, the capacity of existing factory space is reaching saturation, limiting capacity expansion. Additionally, most of its production sites are leased, with restrictions on lease terms and production workshop renovations. The investment in the new production base is expected to meet the future market growth demand for production bases, and avoid the risk of business order loss due to insufficient capacity.