Hengdian Dongci: The controlling shareholder plans to reduce its holding of the company's shares by no more than 1%.

Hengdian Dongci announced that its controlling shareholder, Hengdian Holdings, holds 823 million shares of the company, accounting for 50.59% of the total share capital. It plans to reduce its holdings by no more than 16.26 million shares, or 1% of the total share capital, within 3 months after the announcement day, through centralized bidding or block trading. The reason for the reduction is for its own operational needs, and the shares being reduced were held before the initial public offering. This reduction will not result in a change in the company's control, nor will it affect the company's ongoing operations.