Blue Fung Biochemical Holdings' subsidiary is involved in a lawsuit of 11.23 million, with the outcome still uncertain.

Recently, Jiangsu Lanfeng Biochemical Co., Ltd. announced that its subsidiary, Anhui Xuhe New Energy Technology Co., Ltd., is involved in a lawsuit as the defendant. The plaintiff, Jiangsu Yuhui Sunshine New Energy Co., Ltd., filed the lawsuit against Xuhe Technology for not delivering some products on time, and is demanding the return of the remaining prepayments, delivery payments, and liquidated damages, with a total amount of 11,233,209.17 yuan. The court has accepted the case but has not yet set a date for the hearing. The impact of this lawsuit on the company's current and future profits is uncertain. As of the disclosure date of this announcement, the company and its subsidiary have no other significant lawsuits or arbitration matters that have not been disclosed. Xuhe Technology will take measures to protect the interests of the company and its shareholders, and will disclose any developments in a timely manner.