New Stock News | Huanshi Logistics Plans to List in Hong Kong. The China Securities Regulatory Commission requires additional clarification on the reasons for the three capital reductions during the adjustment of the equity structure and the situation of price payment.

On August 1, the China Securities Regulatory Commission (CSRC) issued the "Supplementary Materials Requirements for Overseas Issuance and Listing Filing (July 25, 2025 - July 31, 2025)", with the CSRC International Department requesting supplemental materials from 9 companies. In the public notice, the CSRC requested Huan Shi Logistics to provide explanations on the reasons for 3 capital reductions during the equity structure adjustment process and the payment situation, whether there were false contributions or capital diversion, and to explain the decision-making procedures and tax payment compliance, as well as whether they comply with the Company Law and tax-related laws and regulations. According to the HKEX disclosure on May 27, Huan Shi International Logistics Holdings Limited has submitted a listing application to the HKEX Main Board. The CSRC requested Huan Shi Logistics to provide explanations on the following matters, and to have lawyers verify and provide clear legal opinions: 1. Regarding the compliance of setting up offshore structures and reverse mergers, please explain: a. The specific compliance of foreign exchange management, overseas investment, foreign investment, tax management, and other regulatory procedures involved in setting up offshore structures and reverse investments by the company and domestic shareholders, and whether they comply with the conclusions of the effective regulatory provisions at that time; b. The pricing basis, payment methods, payment terms, fairness of pricing, and taxation declaration compliance of acquiring the equity of domestic operating entities Huan Shi Group and Hangzhou Da Zhanggui by the company, whether they comply with the "Regulations on Mergers and Acquisitions of Domestic Enterprises by Foreign Investors"; c. The reasons for the 3 capital reductions during the equity structure adjustment process of Huan Shi Group, the payment situation, whether there were false contributions or capital diversion, and the compliance with the Company Law and tax-related laws and regulations. 2. Regarding the situation of domestic operating entities, please explain: a. The reasons for the underpayment of registered capital of main domestic operating entities Huan Shi Group, Zhiyuan Cross-Continent, Huan Shi Technology, their compliance, and the impact on the company's operations and debt repayment ability; b. The conclusive opinions that the successive equity changes of main domestic operating entities have been legal and compliant. 3. Please explain the types, scale, sources, and usage of data information collected and stored during the company and domestic operating entities' business operations, whether they involve providing personal user information to third parties or overseas, and the arrangements or measures for personal information protection and data security before and after listing. 4. After this issuance and listing, the company will no longer establish special voting rights arrangements. Please explain whether there have been any changes in control after this listing and provide relevant criteria for determination. The prospectus shows that Huan Shi Logistics was established in 2003 and, following the profound changes in the global supply chain and the wave of overseas expansion of Chinese brands, the company, with the strong barriers it has built based on its years of accumulated expertise in overseas operations, has become a leading cross-border integrated logistics service provider in China. According to Frost & Sullivan research data, in 2024, Huan Shi Logistics was ranked first among Chinese private cross-border integrated logistics service providers, and ranked eighth among global integrated logistics service providers in terms of container throughput. Furthermore, in the "Belt and Road" corridor, the company is also in a leading position. According to Frost & Sullivan research data, in 2024, Huan Shi Logistics ranked first in the China-Middle East and Red Sea route and was the leading in container volume among all operators on that route. Huan Shi Logistics' global logistics network covers over 6,000 cross-border routes spanning approximately 200 countries and regions. According to Frost & Sullivan research data, in 2024, the company ranked first among Chinese private cross-border integrated logistics service providers based on the number of countries and regions covered by its network and the number of supporting cross-border routes. In 2024, Huan Shi Logistics delivered 772,423 TEUs to approximately 26,000 diverse enterprises worldwide, covering products of all categories.