Xinhua Brocade (600735): Lifting Of Partial Shares And Re Pledge Of Controlling Shareholders

Shandong Xinhua Jin International Limited by Share Ltd announcements on the lifting of pledge and re pledge of some shares of controlling shareholders

Shandong Xinhua Jin International Limited by Share Ltd (hereinafter referred to as "company" or "our company") has recently received a notice from the company's controlling shareholder, Shandong Lu Jin import and Export Group Co., Ltd. (hereinafter referred to as "Lu Jin group"). Lu Jin group has lifted the shares of its company and lifted it again.

First, the lifting of pledge of some shares.

Lu Jin group gave the original pledge to the CITIC Bank Limited by Share Ltd Qingdao branch's 15 million shares of tradable shares, which was lifted at the China Securities Depository and Clearing Co., Ltd. in January 29, 2019.

The lifting of the pledge of unlimited sale of shares is 15 million shares, accounting for 3.99% of the company's total share capital. After the lifting of the share pledge, the number of remaining Pledged Shares of Lu Jin group was 150 million shares, accounting for 80.85% of the total holdings of Lu Jin group, accounting for 39.89% of the total share capital of the company.

Two, the specific situation of stock pledge again

In January 29, 2019, Lu Jin group again pledged 15 million shares of the company's unlimited tradable shares to CITIC Bank Limited by Share Ltd Qingdao branch, which has been processed at China Securities Depository and Clearing Co., Ltd., and the pledge period is one year. The pledge accounted for 3.99% of the total share capital of the company.

As of the date of this announcement, Lu Jin group held 185532352 shares of the company, accounting for 49.34% of the total share capital of the company, of which 165000000 shares were pledged, accounting for 88.93% of the total holdings of Lu Jin group, accounting for 43.88% of the total share capital of the company.

Three. Description of stock pledge

1, the purpose of share pledge.

The stock pledge is provided by Lu Jin group to the bank to apply for a loan guarantee for the working capital loan.

2. Capital reimbursement capability and related arrangements

Lu Jin group's credit standing is good. The sources of repayment of equity pledge financing include Lu Jin group's operating income, operating profit, investment income and so on.

3, possible risks and Countermeasures

If the company's stock price falls and so on leads to insufficient performance guarantee, Lu Jin group will adopt supplementary mortgage and pledge, additional margin, early repayment and other measures to deal with risks.

Notice hereby.

Shandong Xinhua Jin International Limited by Share Ltd

Board of directors January 31, 2019