Deren Electronics: Transfer of some shares of the controlling shareholder through judicial auction has been completed, and the shareholding has decreased to 5.68%.

Deren Electronics announced that the 13.6 million shares successfully auctioned through a second judicial auction by its controlling shareholder, Desheng Company, have been transferred recently, accounting for 2.25% of the total share capital of the company. After this change in equity, Desheng Company and its concerted actors collectively hold 34.344966 million shares, reducing their shareholding to 5.68%. The transfer of ownership through this judicial auction currently does not affect the company's production and operation, and does not involve any changes in the controlling shareholder or the ultimate controller. However, if there are any further judicial auctions in the future, the control of the company may change. The transferee is not allowed to reduce their holdings within 6 months, and will be held accountable for any violations.