Follett announced that the company plans to use its own cash to increase the capital of its wholly-owned subsidiary Shanghai Fulai Ruicheng New Materials Co., Ltd. by 95 million yuan, corresponding to the registered capital of 95 million yuan. After the capital increase is completed, Fulai Ruicheng's registered capital will increase from 205 million yuan to 300 million yuan, and the company will still hold 100% of the shares. Since Fulai Ruicheng is a company that the controlling shareholders Ruan Hongliang and Ruan Zeyun have jointly controlled for the past 12 months, this transaction is a related transaction and does not constitute a major asset restructuring. The transaction has been reviewed and approved by the company's board of directors, and the relevant directors have avoided voting, and there is no need to submit it to the shareholders' meeting for review. There is uncertainty about the return on this investment, so investors are advised to be aware of the risks.

Disclaimer:Webull uses external vendor Google Translation Service for news translations where we endeavour to ensure these are correct, however, we recommend that you please double-check this information accordingly. Webull is not responsible for translation errors or issues.