Guangzhou Automobile Group (02238) plans to issue shares to acquire part of the equity of a vehicle joint venture under FAW Group Corporation and raise matching funds. FAW Group Corporation will become the second largest shareholder.

Guangzhou Automobile Group (02238) announced that on September 14, 2026, the Company signed an "Intent Agreement" with FAW Shares. In order to promote the optimization and integration of industrial resources between local state-owned enterprises and central state-owned enterprises and enhance the operating efficiency of the listed company, the Company is planning to acquire, by way of issuing shares, part of the equity of a vehicle joint venture held by FAW Shares, and to raise matching funds. Based on preliminary estimates, upon completion of this transaction, FAW Shares will become the Company's second largest shareholder with strategic influence; this transaction is expected to constitute a major asset restructuring and a connected transaction, will not constitute a change in the Company's actual controller, and will not constitute a restructuring listing. As of the disclosure date of this announcement, this transaction is still in the planning stage and is subject to uncertainty. In order to ensure fair information disclosure, safeguard the interests of investors, and avoid abnormal fluctuations in the Company's share price, in accordance with the relevant provisions of the Shanghai Stock Exchange, upon application, the Company's A shares (securities abbreviation: Guangzhou Automobile Group, securities code: 601238) have been suspended from trading with effect from the market opening on September 14, 2026, with the suspension expected to last no more than 10 trading days. In addition, the Company has applied to the Stock Exchange of Hong Kong Limited for the resumption of trading of its H shares on the Stock Exchange with effect from 9:00 a.m. on September 15, 2026 (Tuesday).