Hengbang Group: Shareholder Hengbang Group plans to reduce its shareholding by no more than 1%.

Hengbang Group Announcement: Shareholders holding more than 5% of the shares, Yantai Hengbang Group and its concerted actors collectively hold 103 million shares, accounting for 7.22% of the total share capital of the company; Hengbang Group itself holds 67.6747 million shares, accounting for 4.73%. Due to capital needs, Hengbang Group plans to reduce its holdings by no more than 11.4807 million shares through centralized bidding within 3 months after the date of this announcement, with a proportion not exceeding 1% of the total share capital of the company. The source of the reduction is the shares held before the initial public offering, and the reduction price will be determined by the market price.