Red Avenue New Materials Group (09607) increases capital by 459 million Thai baht in RA Thailand.

Red Avenue New Materials Group (09607) announced that on October 15, 2026, Hong Kong Tongcheng Group (a wholly-owned subsidiary of the Company) entered into a capital increase agreement with Gold Dynasty and RA Thailand, pursuant to which Hong Kong Tongcheng Group and Gold Dynasty will make a total capital contribution of 900 million Thai baht to RA Thailand in proportion to their respective shareholdings in RA Thailand. Accordingly, Hong Kong Tongcheng Group has agreed to make a capital contribution of 459 million Thai baht (equivalent to approximately RMB 91.8 million) to RA Thailand. As at the date of this announcement, RA Thailand is held as to 51% and 49% by Hong Kong Tongcheng Group and Gold Dynasty, respectively. Upon completion of the capital contribution, the shareholdings of Hong Kong Tongcheng Group and Gold Dynasty in RA Thailand will remain unchanged, and RA Thailand will continue to be a non-wholly-owned subsidiary of the Company. In March 2025, the Company approved the joint establishment of RA Thailand with Gold Dynasty to develop a production facility in Thailand for the production of rubber additives. This investment forms part of the Group's overseas expansion strategy, aiming to enhance the Group's overseas production capacity, reduce delivery costs and shorten the delivery cycle for overseas sales, thereby enabling the Group to better serve overseas customers and support its future business growth. The capital contribution contemplated under the capital increase agreement falls within the total investment amount approved by the Company in March 2025, and the Company considers that the capital contribution will provide the necessary funding for the establishment of the production facility and the operations of RA Thailand.