HUANXI MEDIA (01003): Termination of Subscription of New Shares under General Mandate

HUANXI MEDIA (01003) announced that, as of the date of this announcement, because certain conditions precedent to the subscription had not been fulfilled or waived, and the parties had also failed to agree to further extend the long-stop date, the subscription agreement has been terminated in accordance with its terms, and the subscription will not proceed. Following the termination of the subscription agreement, the parties shall no longer bear their respective obligations under the subscription agreement. At the same time as entering into the subscription agreement, the Company and the subscriber also entered into a strategic cooperation and joint venture framework agreement and a large model API service framework agreement (such agreements). As of the date of this announcement, the cooperation and transactions contemplated under such agreements are still under discussion. The Board considers that the termination of the subscription will not have any material adverse impact on the Company's existing business, operations or financial condition.