Hechuan Technology: Jointly controlled fund plans to increase capital by 24 million yuan in a subsidiary.

Hechuan Technology announced that the company intends to subscribe for 24 million yuan in the registered capital of its holding subsidiary Hechuan Robot with its joint venture fund Gingko Valley Fund. The high-quality fund, which is not related to the company, will also increase its investment by subscribing for 24 million yuan in the registered capital. The company plans to relinquish its right to prior preferential capital increase of 28.8 million yuan. After the investment is completed, Gingko Valley Fund will hold a 4.38% equity stake in Hechuan Robot, reducing the company's ownership stake from 60% to 54.74%. Hechuan Robot will remain a subsidiary of the company. This transaction constitutes a related party transaction, has been approved by the board of directors, does not require submission to the shareholders' meeting, and there is uncertainty in reaching the agreement.