Shao Neng Holdings: Increase capital of 60 million yuan to a holding subsidiary.

Shao Energy announced that the company has decided to increase the capital of its controlling subsidiary, Shaoneng Group Shaoguan Hongda Gear Co., Ltd., by 60 million yuan, with a registered capital of 20 million yuan. After the capital increase, Hongda Company's registered capital will increase to 118 million yuan, with the company's shareholding ratio decreasing to 94.44%. This capital increase aims to promote the further development and growth of Hongda Company, seize the opportunities in the new energy industry, reduce the asset-liability ratio, and optimize the debt structure. The capital increase has been approved by the board of directors, does not require the approval of the shareholders' meeting, does not constitute a major asset restructuring, and does not constitute a related party transaction.