Jiaozuo Wanfang: Termination of the Issuance of Shares to Purchase Assets and Related-Party Transaction

Jiaozuo Wanfang announced that the company had originally planned to issue shares to 19 counterparties to acquire a 99.4375% equity interest in Cayman Aluminum Co., Ltd. This transaction constituted a major asset restructuring, a restructuring listing, and a related-party transaction. In view of the significant changes in the market environment compared with the initial planning stage, the company and the principal counterparties unanimously decided to terminate the transaction. The termination has been reviewed and approved by the company's board of directors and does not need to be submitted separately to the shareholders' meeting for review. A termination agreement has been signed with the principal counterparties, and there is no circumstance under which liability for breach of contract must be borne. It will not have a material adverse impact on the company's main business or financial condition. The company undertakes that, within at least one month from the date of the announcement of the termination of this restructuring, it will no longer plan any major asset restructuring matters.