On May 8, 2026, Shaoxing Hailan entered into a Reorganization Investment Agreement with Ningxia Sinochem Lithium Battery Material Co., Ltd. (“Ningxia Lithium”) and Ninggxia Sinochem Lithium Battery Materials Co., Ltd Assets Manager (“Assets Manager”). Ningxia Sinochem served as a sub-contractor for Hitrans, primarily providing processing services of NCM materials for Hitrans. Due to its financial difficulties, Ningxia Sinochem is currently undergoing a court-administered bankruptcy reorganization. On March 20, 2026, the Zhongwei Intermediate People's Court ruled to approve the reorganization plan of Ningxia Sinochem. Pursuant to the approved reorganization plan and through a public bidding process, Shaoxing Hailan obtained the qualification as the reorganization investor for Ningxia Lithium for a total consideration of RMB110 million (approximately $15.9 million). As of the report date, Shaoxing Hailan has paid RMB10 million (approximate $1.55 million) to the Assets Manager. The transaction has not yet been completed, and the completion is subject to various uncertainties and conditions, and there can be no assurance that the transaction will be ultimately completed.