Zonghe Technology: Sale of subsidiary equity not approved, plans to provide a loan of 5.9 million yuan.

Zhonghe Technology announced that the company plans to transfer 75% of the equity of Wenrui Company to Shanyuyuan Environmental Protection at a price of 32.25 million yuan. The transaction is still pending approval or registration by banks and government departments, and no agreement has been signed between the two parties. Wenrui remains a wholly-owned subsidiary. Due to Wenrui's debt repayment and financial stress, the company plans to provide a loan of 5.9 million yuan, with a term from December 4, 2025 to June 3, 2026, with interest calculated based on the benchmark lending rate. The transfer process can only be initiated after Wenrui repays the loan and interest. If not repaid, the company has the right to terminate the transaction. After the loan is obtained, the company will adjust the transaction plan and submit it to the board of directors for approval.