Crown City New Materials: Fengrong Investment plans to reduce its shareholding in the company by no more than 3%.

Guancheng New Materials Announcement: The controlling shareholder Fujian Fengrong Investment Co., Ltd. plans to reduce its holdings by a total of no more than 41,749,900 shares, accounting for 3% of the total share capital of the company, through centralized bidding and block trading from July 7, 2026 to October 6, 2026. Among them, the reduction through centralized bidding will not exceed 13,916,600 shares, and the reduction through block trading will not exceed 27,833,300 shares. The reason for the reduction is the capital needs of Fengrong Investment itself.