002394: Notice Of Reduction Of Registered Capital

Lianfa (002394) announced on the evening of May 13 that the company held the eighth meeting of the Fifth Board of directors on April 21, 2022 and the 2021 annual general meeting of shareholders on May 13, 2022. The meeting deliberated and passed the proposal on repurchase and cancellation of all the remaining restricted stocks granted but not yet released from the restricted stock incentive plan in 2018.

As the company's operating revenue index in 2021 fails to meet the company level performance evaluation conditions for the third lifting of sales restriction period stipulated in the incentive plan for restricted shares in 2018, the company plans to repurchase and cancel 5179200 restricted shares.

The company's repurchase and cancellation of some restricted shares will involve a decrease in the registered capital, which will decrease from 328879200 yuan to 323700000 yuan. According to the provisions of the company law of the people's Republic of China and other relevant laws and regulations, the creditors of the company have the right to require the company to pay off its debts or provide corresponding guarantee with valid proof documents and certificates of creditor's rights within 30 days from the date of receiving the company's notice, or within 45 days from the date of announcement of this notice if the notice is not received. If the creditor fails to declare the above requirements to the company within the time limit, the validity of the creditor's rights will not be affected, and the relevant debts (obligations) will be continued to be performed by the company according to the original creditor's rights documents.