Huahong Company: Response to Asset Restructuring Review Inquiry Letter
This transaction plans to acquire 100% equity of Hualiwei.

Hua Hong Company Announcement: On April 2, 2026, the company received an inquiry letter from the Shanghai Stock Exchange regarding the review of the application for issuing shares and paying cash to purchase assets, raising supporting funds, and related-party transactions. The company has worked together with independent financial advisors, law firms, accounting firms, and valuation agencies to carefully study and implement the issues raised in the inquiry letter, and has made supplementary disclosures in the restructuring report. The response has now been submitted.
This transaction plans to acquire 100% equity of Hualiwei, adding a capacity of 38k wafers/month for 65/55nm and 40nm processes, and eliminating competition between the two parties.
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