DIWANG IND H(01950): Termination of Placement Agreement

DIWANG IND H (01950) announced that on July 13, 2026 (after trading hours), the company and the placing agent have agreed to terminate the placing agreement in accordance with the terms of the agreement. Following the termination of the placing agreement, the contracting parties of the placing agreement have agreed to release each other from all contractual and legal obligations arising from or related to the placing agreement (as amended), and no party shall make any claims against the other party in relation to any matters or items arising from or related to the placing agreement, except for certain provisions related to fees and expenses already incurred and other customary provisions which shall remain valid and enforceable. The group has appointed the placing agent to use their best efforts to solicit no less than six independent placees to subscribe for up to 72 million placing shares at a placing price of HK$0.087 per share. The placing agent has informed the company that as of the date of this announcement, only one potential placee has expressed a clear intention to subscribe for approximately 10% to 20% of the 72 million placing shares. Due to the lower than expected amount of funds raised and considering that the placing will not be able to achieve its intended fundraising purpose, the directors believe that terminating the placing agreement is in the overall interest of the company and shareholders.