Falsheng: The optical communication, optoelectronic technology companies and other entities circulating online are all subsidiaries under the controlling shareholder, with no equity relationship or business dealings with the listed company.

Far Sheng announced on March 17 that the company’s stock (stock abbreviation: Far Sheng; stock code: 000890) experienced a cumulative deviation of 22.73% in closing prices over two consecutive trading days on March 16 and March 17, 2026, indicating abnormal stock trading fluctuations. At the same time, the stock price volatility has seriously diverged from the company’s fundamentals, with market sentiment overheating and irrational speculation risks. If the company’s stock price continues to rise in the future, the company may apply to the Shenzhen Stock Exchange for a trading halt for investigation.

The company’s sale of a 10% stake in China Bekaert Steel Cord Co., Ltd. was completed on March 10, 2026. This transaction is expected to reduce the company’s net assets by approximately 17.1028 million yuan in 2025 (the specific amount will be subject to the audited results by the annual auditor). It will not affect the listed company’s operating income, profits, or other indicators, nor will it cause changes to the company’s main business. The company’s main business remains metal products and environmental protection, with metal products accounting for about 72% of operating income. The company has no plans or arrangements to divest its metal products business. The funds from this transaction will mainly be used to repay interest-bearing debt and supplement working capital, and do not involve plans to acquire other assets.

The company’s business does not involve “special optical fiber” or “optical fiber,” and there are no situations of “restructuring” or “backdoor listing.” The Jiangsu Far Sheng Optical Communication Technology Co., Ltd. and Jiangsu Far Sheng Optoelectronic Technology Co., Ltd., mentioned in online rumors, are subsidiaries controlled by the company’s major shareholders and have no equity relationship or business dealings with the listed company. As of the date of this announcement, the company has no plans to restructure these two enterprises. Investors are advised to invest rationally and be aware of investment risks.