On October 10, 2025, Sinomach-pi Group Co., Ltd. held a board meeting to review and approve the proposal for its subsidiaries, Axle Research Technology and Sinomach Diamond, to conduct accounts receivable transfer and non-recourse factoring business with related parties Sinomach Capital and its subsidiary Sinomach Factoring, with a total business amount not exceeding 500 million yuan. Sinomach Capital and Sinomach Factoring are wholly-owned subsidiaries of Sinomach Group, and this transaction constitutes a related party transaction. The transaction is subject to approval by the fourth extraordinary general meeting of shareholders in 2025. As of September 30, 2025, Sinomach Capital had total assets of 9,550,196.8 thousand yuan, and Sinomach Factoring had total assets of 3,522,105.6 thousand yuan. This business helps the company to revitalize assets and accelerate capital turnover, and the pricing is fair. From the beginning of 2025 to the disclosure date, the company has accumulated related party transactions of 140,086.9 thousand yuan with Sinomach Group and its related parties. Both independent directors and sponsors expressed their agreement
