Zanyu Technology's Board and Supervisory Team Plan to Increase Holdings by No Less Than 12.5 Million Yuan Within 6 Months; Company Has Fully Defended Its Rights in Indonesian Subsidiary Litigation Case

On March 18, Zanyu Technology (002637) announced that the company’s chairman, all directors, and senior management plan to increase their holdings of the company’s shares within six months from the disclosure date of the share repurchase plan, with a total amount not less than 12.5 million yuan. The launch of this share repurchase plan reflects the core management team’s confidence in the industry and the company’s future development prospects, as well as a reasonable judgment of the company’s stock value. It also aims to boost investor confidence, effectively protect the interests of small and medium investors, and maintain stability in the capital market.

Just two days ago, the company issued an announcement regarding the bankruptcy petition filed against its wholly owned Indonesian subsidiary, clarifying that there were factual errors in the ruling. The company has initiated multiple legal procedures to fully defend its rights, and the subsidiary’s operations have not been materially affected.

The share repurchase plan involves 12 core management members of the company. The plan does not set a price range for the repurchase, and the implementation period is no more than six months from the date of the announcement. All 12 participants have set clear minimum amounts for their repurchases: Chairman Zhang Jingguo plans to buy at least 5 million yuan, General Manager Zou Huanjin plans to buy at least 2.5 million yuan, and the remaining 10 participants each plan to buy at least 500,000 yuan, with a total minimum repurchase amount of 12.5 million yuan.

On March 16, Zanyu Technology announced that its wholly owned subsidiary PT Dua Kuda Indonesia (“DukuDa”) received a bankruptcy notice from the Central District Commercial Court of Jakarta, Indonesia, on March 13. The ruling was based on a debt extension repayment application initiated by Harbor Praise Limited (“Harbor Praise”) from Hong Kong in November 2025 (PKPU procedure). Harbor Praise, along with Rugao Shuangma Chemical Co., Ltd. and Nantong Xinjiu Chemical Co., Ltd., claimed that DukuDa owed them debts. The Jakarta Central District Commercial Court declared DukuDa bankrupt on March 13, 2026.

Regarding this bankruptcy ruling, Zanyu Technology stated that after verification, Harbor Praise, Shuangma Chemical, and Nantong Xinjiu are related companies controlled by the same individual. Shuangma Chemical was originally a major shareholder of DukuDa. Zanyu Technology acquired 90% of DukuDa’s shares in two transactions in 2016 and 2019. These three companies are not the true creditors of DukuDa, and the related debts and obligations had been settled through offsetting, transfers, and debt assignments long ago. The debt between Harbor Praise and DukuDa was offset in 2021, and payments owed by Shuangma Chemical to DukuDa were completed in 2022. Nantong Xinjiu’s debt was transferred to Shuangma Chemical as early as 2020, and subsequently, DukuDa has had no business dealings with these three companies. The company pointed out that Harbor Praise and others only submitted unverified debt documents from 2018 and 2019 to the court, deliberately concealing subsequent accounting offsets, which led to an inaccurate ruling. This behavior is essentially malicious litigation, and the relevant ruling has serious procedural flaws and factual errors.

Currently, DukuDa has initiated multiple legal procedures to safeguard its rights: on March 16, it entrusted lawyers to appeal to the Supreme Court of Indonesia to revoke the bankruptcy ruling; on March 13, it filed a criminal complaint with the Indonesian National Police Criminal Investigation Department for suspected document forgery and perjury by the three companies, which has been accepted; on February 27, it submitted objections to multiple Indonesian judicial authorities requesting the revocation of the PKPU ruling.

Zanyu Technology emphasizes that, as of now, DukuDa’s overall operations are normal, with procurement, production, sales, and logistics proceeding as planned. Its capacity and delivery capabilities remain stable. Financial data shows that as of June 30, 2025, DukuDa’s total assets were approximately 1.965 billion yuan, with net assets of 1.673 billion yuan. In the first half of 2025, it achieved a net profit of 102 million yuan. There is no risk of insolvency or significant lack of repayment ability; the bankruptcy ruling is only a result of the Indonesian local court and does not represent the final ruling of the Supreme Court. The final outcome is still uncertain.

Affected by this, Zanyu Technology’s stock price has hit the limit down for two consecutive days.