YAN PALACE (01497) intends to spend no more than HK$100 million to buy back H shares.

YAN PALACE (01497) announces that, in accordance with the general authorization granted by the shareholders of the company at the annual general meeting held on May 11, 2026, the Board of Directors of the company (the Board) intends to repurchase H shares (H shares) in the open market from the date of this announcement until the expiry of the general authorization to repurchase H shares, with an amount not exceeding HK$100 million. The total number of H shares to be repurchased will not exceed 46,169,300 shares, which is 10% of the total issued H shares as of the annual general meeting date (excluding treasury shares, if any). The company's current cash flow is healthy, and its overall financial position is strong to meet the needs of the company's continuous business development. The Board believes that the value of the H shares traded in the market is underestimated. The Board believes that the repurchase of H shares can demonstrate the company's confidence in its business outlook and prospects, enhance returns to shareholders, ultimately benefit the company and create value for shareholders, and align with the overall interests of the company and its shareholders.