Announcement by Hefei Qizhong Technology Co., Ltd. on Increasing the Estimated Daily Related Party Transactions for 2026

Securities Code: 688352 Stock Abbreviation: Qizhong Technology Announcement No.: 2026-016

Convertible Bond Code: 118059 Convertible Bond Abbreviation: Qizhong Convertible Bond

Hefei Qizhong Technology Co., Ltd. Announcement on the Increase of Estimated Routine Related Party Transactions in 2026

The company’s board of directors and all directors guarantee that the content of this announcement is free from any false records, misleading statements, or major omissions, and assume legal responsibility for its authenticity, accuracy, and completeness.

Key Highlights:

● This related-party transaction still requires approval by the shareholders’ meeting of Hefei Qizhong Technology Co., Ltd. (hereinafter referred to as “the Company”).

● Impact of routine related-party transactions on the Company: This transaction is a routine related-party transaction within the scope of normal production and operation, based on market prices, following the principles of equality and voluntariness. The transaction risks are controllable, and there is no harm to the interests of the Company and its shareholders. This routine transaction will not affect the Company’s independence, nor will it create dependency on related parties.

1. Basic Information on Routine Related-Party Transactions

(1) Review Procedures for Routine Related-Party Transactions

On March 19, 2026, the Company held the 8th special meeting of the second session of independent directors, which approved the proposal on the increase of estimated routine related-party transactions in 2026. All independent directors believe that: the increase is due to a fire accident at the fully owned subsidiary, Hefei Qizhong Technology (Suzhou) Co., Ltd., on January 24, 2026, which damaged some cleanroom production environments and caused equipment failures, temporarily limiting production capacity in certain processes. To minimize the adverse impact of the emergency on production and ensure timely delivery of customer orders, the Company coordinated its existing capacity at Hefei plant while outsourcing some affected processes to Qibang Technology Co., Ltd. (hereinafter referred to as “Qibang Tech”). This emergency outsourcing is a one-time related-party transaction, necessary for responding to the production emergency, reasonable and urgent. The transaction follows principles of openness, fairness, and justice, with fair and reasonable pricing. It does not affect the Company’s independence, nor does it harm the interests of the Company or shareholders, especially minority shareholders. During the review, related directors abstained from voting, and the review process complies with relevant laws and regulations. Independent directors agreed to submit the proposal to the shareholders’ meeting.

On the same day, the Company held the 9th meeting of the second board of directors, which approved the same proposal. Director Luo Shiwei recused from the vote; other non-related directors unanimously approved.

The increase of estimated routine related-party transactions in 2026 still requires approval by the shareholders’ meeting. Related parties with interests will waive voting rights on this proposal.

(2) Estimated Increase in Related-Party Transactions

Unit: 10,000 RMB

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Note: The proportion of similar business is calculated based on audited revenue of similar business in 2024.

2. Basic Information and Relationship of Related Parties

(1) Basic Information of Related Parties

1. Basic Information

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2. Relationship with the Company

Qibang Tech is indirectly held by Hefei Qizhong Holding (Hong Kong) with over 5% of the Company’s shares. Director Luo Shiwei serves as its senior vice president. This meets the criteria for related parties under Article 15.1, Item (15) of the Shanghai Stock Exchange STAR Market Listing Rules.

(2) Performance Capability Analysis

The above related parties operate legally and continuously. The previous contract executions were smooth. The Company will sign relevant contracts or agreements with related parties for these transactions and strictly perform according to terms, with legal protections for both sides.

3. Main Content of Routine Related-Party Transactions

(1) Main Content

The estimated maximum amount of this increase is to minimize the adverse effects of emergencies. Transactions with related parties follow principles of objectivity, fairness, voluntariness, and mutual benefit. Prices are negotiated based on market prices and adjusted accordingly with market fluctuations.

(2) Contract Signing Status

To protect mutual interests, the Company will sign relevant contracts or agreements with related parties based on business development, defining transaction details and prices.

4. Purpose and Impact of Routine Related-Party Transactions

(1) Necessity

These transactions are aimed at reducing the impact of emergencies on operations and ensuring timely delivery of orders, representing normal, legal economic activities between the Company and related parties, beneficial for normal operations and aligned with the interests of the Company and shareholders.

(2) Fairness and Reasonableness

All transactions are based on standard commercial terms, referencing comparable market prices, following fairness and voluntariness, with prices negotiated by both sides. No actions harm the interests of the Company or shareholders, especially minority shareholders.

(3) Continuity

The Company will maintain stable cooperation with related parties, with no impact on the independence of operations, and no significant effect on future financial or operational results.

5. Sponsor’s Review Opinion

CITIC Construction Investment Securities Co., Ltd. has reviewed and believes that:

The increase of estimated routine related-party transactions in 2026 has been approved by the 8th special meeting of the second session of independent directors and the 9th meeting of the second board of directors. Related directors abstained from voting. The proposal complies with relevant laws, regulations, and internal rules. The transactions are necessary for responding to emergencies, are fairly priced, and do not harm the interests of the Company or shareholders, especially minority shareholders. They will not affect the Company’s independence. The main business will not depend on related parties because of these transactions.

6. Public Disclosure Attachments

“CITIC Construction Investment Securities Co., Ltd. Review Opinion on Hefei Qizhong Technology Co., Ltd.'s Increase of Estimated Routine Related-Party Transactions in 2026.”

This announcement is made.

Hefei Qizhong Technology Co., Ltd. Board of Directors March 20, 2026