Shanghai Qifan Cable Co., Ltd. Progress Announcement on Providing Guarantees for Subsidiaries

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Stock Code: 605222 Stock Abbreviation: Qifan Cable Announcement No.: 2026-011

Bond Code: 111000 Bond Abbreviation: Qifan Convertible Bond

Shanghai Qifan Cable Co., Ltd.

Announcement on the Progress of Providing Guarantees for Subsidiaries

The board of directors of the company and all directors guarantee that the content of this announcement does not contain any false record, misleading statement, or major omission, and bear legal responsibility for the authenticity, accuracy, and completeness of its content.

Important Content Reminder:

● Guaranteed Object and Basic Situation

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● Cumulative Guarantee Situation

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I. Overview of Guarantee Situation

(1) Basic Situation of Guarantee

To support the business development of its subsidiary, based on its actual business needs, Shanghai Qifan Cable Co., Ltd. (hereinafter referred to as the “Company”) recently signed a “Guarantee Contract” (Contract No.: 31192264070522) with the Qingpu Branch of Shanghai Rural Commercial Bank Co., Ltd. (hereinafter referred to as “Shanghai Rural Commercial Bank Qingpu Branch”), to provide guarantees for the financing business signed between its subsidiary Shanghai Qifan Wire and Cable Technology Co., Ltd. (hereinafter referred to as “Qifan Technology”) and Shanghai Rural Commercial Bank Qingpu Branch. The guarantee method is joint liability guarantee, and the amount of the guaranteed debt is RMB 10 million, with a guarantee period of three years from the expiration of the debt performance period under the main contract. There is no counter guarantee for this guarantee.

(2) Internal Decision-Making Procedure

On April 24, 2025, the Company held the 34th meeting of the 3rd Board of Directors and the 23rd meeting of the 3rd Supervisory Board, and on May 19, 2025, convened the 2024 Annual General Meeting of Shareholders, which reviewed and approved the proposal on “Estimated Comprehensive Credit Limit Application to Banks and Providing Guarantees for Subsidiaries for 2025”, agreeing that the Company will provide guarantees for Chizhou Qifan Cable Co., Ltd. (hereinafter referred to as “Chizhou Qifan”), Yichang Qifan Cable Co., Ltd. (hereinafter referred to as “Yichang Qifan”), Qifan Technology, and Shanghai Qifan E-commerce Co., Ltd. (hereinafter referred to as “Qifan E-commerce”) in an amount not exceeding RMB 1.1 billion, RMB 50 million, RMB 20 million, and RMB 80 million respectively. Chizhou Qifan and Yichang Qifan, as well as Qifan E-commerce and Qifan Technology, may adjust the use of this credit guarantee limit. Specific guarantee scope, form, duration, etc., shall be subject to the actual signed guarantee contract. For details, please refer to the announcements published by the Company on April 25, 2025, and May 20, 2025, on the Shanghai Stock Exchange website (www.sse.com.cn) and the company’s designated information disclosure media.

This external guarantee matter is within the annual guarantee authorization limit of the Company and does not require another board and shareholder meeting for deliberation, complying with relevant regulations.

II. Basic Situation of the Guaranteed Party

(1) Basic Situation

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III. Main Content of the Guarantee Agreement

1. Creditor: Qingpu Branch of Shanghai Rural Commercial Bank Co., Ltd.

2. Guarantor: Shanghai Qifan Cable Co., Ltd.

3. Debtor: Shanghai Qifan Wire and Cable Technology Co., Ltd.

4. Guarantee Method: Joint Liability Guarantee

5. Guarantee Amount: The amount of the guaranteed debt is RMB 10 million

6. Guarantee Scope: The scope of the guarantee includes the principal, interest, penalty interest, compound interest, liquidated damages, compensation, and expenses for realizing the creditor’s rights under the main contract. Expenses for realizing creditor’s rights include but are not limited to collection fees, litigation or arbitration fees, preservation fees, announcement fees, execution fees, attorney fees, travel expenses, notarization fees, and other expenses.

If the creditor suffers losses due to false or fraudulent situations in the basic contract and basic transaction involved in the main contract, the guarantor shall bear joint liability for all losses of the creditor.

If the debtor defaults on the obligations stipulated in the main contract and the creditor requests the debtor to increase the guarantee deposit, the guarantor shall bear joint liability for the debtor’s obligation to increase the guarantee deposit.

7. Guarantee Period: Three years from the expiration of the debt performance period stipulated in the main contract.

IV. Necessity and Reasonableness of the Guarantee

To support the business development of wholly-owned subsidiaries, based on their actual business needs, the Company provides performance guarantees for the loan business of wholly-owned subsidiaries, which is beneficial for their stable operation and long-term development, in line with the Company’s business strategy. The guaranteed party is the Company’s wholly-owned subsidiary, and the Company can promptly control the risks and decisions of its daily operations, making the guarantee risk manageable. This guarantee will not affect the Company’s ability to continue operating and does not harm the interests of the Company and its shareholders.

V. Board of Directors’ Opinion

The Company held the 34th meeting of the 3rd Board of Directors on April 24, 2025, with 9 votes in favor, 0 votes against, and 0 abstentions, reviewing and approving the proposal on “Estimated Comprehensive Credit Limit Application to Banks and Providing Guarantees for Subsidiaries for 2025”.

The Board of Directors believes that the guarantee matter is provided to meet the operational needs of the Company’s subsidiaries and aligns with the overall development strategy of the Company. Additionally, the guaranteed party is a wholly-owned subsidiary of the Company, which allows effective control over its daily operational risks and decisions, enabling timely oversight of its credit status, with no harm to the interests of the Company and its shareholders.

VI. Cumulative Number of External Guarantees and Number of Overdue Guarantees

As of the date of disclosure of this announcement, the total amount of external guarantees provided by the Company (excluding guarantees for subsidiaries) is 0 yuan, and the total amount of guarantees for subsidiaries is 1,865 million yuan, with a guarantee balance of 699.67 million yuan, accounting for 15.08% of the Company’s audited net assets as of the end of 2024. Neither the Company nor its subsidiaries have any instances of illegal guarantees.

The Company has not provided guarantees for controlling shareholders and actual controllers and their related parties, nor have there been any overdue guarantees, guarantees involving litigation, or losses incurred due to guarantees being ruled against.

This is a special announcement.

Board of Directors of Shanghai Qifan Cable Co., Ltd.

March 27, 2026

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