HUA HONG SEMI Co., Ltd. announced the adjustment of the annual cap for related party transactions with HUA HONG Group for the year 2024 and the expected amount for the year 2025. The Board of Directors agreed to increase the annual cap for the procurement of raw materials, products, and other services from HUA HONG Group from RMB 273.8099 million to RMB 287.5164 million, mainly to accelerate the construction and mass production of the new 12-inch production line in Wuxi.In 2025, the company expects to have related transactions totaling approximately RMB 1214.9473 million with related parties including HUA HONG Group, United Alliance Group, Shanghai Silit, and ChipOrigin, involving related sales, related purchasing, and related leasing. Among them, the estimated amount for procuring raw materials, products...Show More

HUA HONG SEMI Co., Ltd. announced the adjustment of the annual cap for related party transactions with HUA HONG Group for the year 2024 and the expected amount for the year 2025. The Board of Directors agreed to increase the annual cap for the procurement of raw materials, products, and other services from HUA HONG Group from RMB 273.8099 million to RMB 287.5164 million, mainly to accelerate the construction and mass production of the new 12-inch production line in Wuxi.In 2025, the company expects to have related transactions totaling approximately RMB 1214.9473 million with related parties including HUA HONG Group, United Alliance Group, Shanghai Silit, and ChipOrigin, involving related sales, related purchasing, and related leasing. Among them, the estimated amount for procuring raw materials, products, and other services from HUA HONG Group is RMB 395.7188 million, mainly due to the need for capacity expansion.The company stated that the related daily transactions adhere to principles of fairness and reasonableness, do not harm the interests of the company and shareholders, and do not affect the company's independence. This adjustment and expected matters do not require submission to the shareholders' meeting for deliberation. The company will sign agreements with the relevant related parties and strictly execute transactions according to the agreed terms.