Triumph New Energy Announces Termination of Entrusted Management Arrangements

Date: 29 April 2026

Key Points for Investors

• Triumph New Energy Company Limited (“the Company”, formerly Luoyang Glass Company Limited; Stock code: 01108) has announced that it will terminate all its entrusted management arrangements with several related companies, effective 30 April 2026.
• The decision was approved by the Company’s Eighth Meeting of the Eleventh Board and will be officially communicated to the affected parties: Shengshi New Energy, Shengshi New Materials, Shuyang Xinda, and Jiangsu Guangnian.
• The entrusted management arrangements were originally established in January 2022, involving agreements with the above companies for the management of Shengshi New Materials and Jiangsu Guangnian (collectively, the “Target Companies”).
• No material progress has been made in asset injection and the transfer of related property rights into the Target Companies as stipulated under the original agreements.
• Capital contribution obligations have not been fulfilled by Shengshi New Energy and Shuyang Xinda regarding the registered capital of the Target Companies, as previously agreed.
• The termination follows a comprehensive review of market conditions, industry trends, the Target Companies’ actual operating situations, and the Company’s future strategic direction.
• After the termination, Triumph New Energy will no longer bear fiduciary responsibilities towards the Target Companies.

Potentially Price-Sensitive Information

• The termination of these arrangements is not expected to have a material impact on the Company’s production, operations, or financial condition.
• The Board asserts that the termination will not be detrimental to the interests of the Company or its shareholders as a whole.
• The announcement may reassure investors that the Company is proactively addressing unproductive arrangements and focusing on strategic priorities.

Detailed Background and Implications

In January 2022, Triumph New Energy entered into entrusted management agreements with several parties—specifically, Entrusted Management Agreement A with Shengshi New Energy and Shengshi New Materials, and Entrusted Management Agreement B with Shuyang Xinda and Jiangsu Guangnian. These agreements pertained to the management and potential asset injection into the Target Companies (Shengshi New Materials and Jiangsu Guangnian).

Despite the initial consensus, progress stalled. The expected asset injections and property right transfers did not occur, and both Shengshi New Energy and Shuyang Xinda failed to meet their capital contribution obligations for the Target Companies’ registered capital. Given these setbacks, along with evolving market conditions and a reassessment of the Company’s future development strategies, the Board resolved to terminate the agreements.

The Company will issue formal notices of termination to all parties involved. Effective 30 April 2026, Triumph New Energy will relinquish all fiduciary duties toward the Target Companies. The Board has emphasized that this move will not adversely impact the Company’s ongoing operations or financial standing.

Corporate Governance

As of the date of this announcement, the Board of Triumph New Energy Company Limited comprises three executive Directors (Mr. Xie Jun, Mr. Chen Peng, and Mr. He Qingbo), two non-executive Directors (Ms. Wu Dan and Mr. Yang Jianqiang), and three independent non-executive Directors (Mr. Fan Baoqun, Mr. Chen Qisuo, and Ms. Yuan Jian).

Conclusion

The termination of the entrusted management arrangements signifies Triumph New Energy’s commitment to prudent financial management and strategic clarity. While the lack of material progress and unfulfilled capital contributions from partners prompted this decision, the Board assures investors that the Company remains on stable financial and operational footing, with no adverse impacts expected from this action.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are advised to refer to official company filings and consult with professional advisers before making investment decisions.

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