NEW CONCEPTS (02221) subsidiary Tianjin Tianchuang intends to invest 2 million yuan in Beijing Shengrui Zhichu Technology.

NEW CONCEPTS (02221) announced that on August 14, 2026, the companys indirectly wholly-owned subsidiary Tianjin Tianchuang Investment Co., Ltd. (Tianjin Tianchuang), Shenzhen Manst Technology Venture Capital Management Co., Ltd. (Shenzhen Manst Technology), and Hebei Ruifeng Energy Technology Co., Ltd. (Hebei Ruifeng) entered into a capital injection agreement concerning an investment in Beijing Shengrui Zhichu Technology Co., Ltd. (the target company), which is a wholly-owned subsidiary of Hebei Ruifeng, in order to extend the industry chain related to the Group's existing business in waste cooking oil (UCO) and new energy battery anode materials. According to the capital injection agreement, Tianjin Tianchuang will inject RMB 2 million; Shenzhen Manst Technology will inject RMB 1.75 million, and together with the existing investment of RMB 1.25 million by Hebei Ruifeng, it will increase the total registered capital of the target company to RMB 5 million. Upon completion of the capital injection, the Group will hold a 40% equity interest in the target company, which will then be accounted for as an associate company in the Group's consolidated financial statements. It is expected that the RMB 2 million injected by Tianjin Tianchuang will be allocated from the Group's internal resources. The target company is mainly engaged in the investment, development, construction, and operation of new energy storage projects (i.e., energy storage power stations) in China. The Board of Directors believes that the investment in the target company represents an expansion and extension of the Group's existing industry chain (related to its UCO and new energy battery anode materials business) for the following reasons. Firstly, the Group's existing UCO business essentially belongs to a green energy source that can be further processed into biodiesel. Biodiesel, as a liquid clean fuel, can be used for power generation, and the electricity generated can be fed into energy storage power stations. Secondly, the Group also produces graphite-based new energy battery anode materials and is simultaneously developing bio-based hard carbon anode materials, which offer advantages such as excellent cycling performance and high safety, and are mainly used in the anode materials of future energy storage batteries. By developing its energy storage business, the Group will be able to quickly obtain sales orders from battery manufacturers for bio-based hard carbon anode materials, which is expected to bring two aspects of returns to the Group: returns from the bio-based hard carbon anode materials business, and returns from the application-side energy storage projects.