CIL GROUP (01719) plans to participate in the establishment of a fund.

CIL GROUP (01719) announced that on September 7, 2026, its wholly-owned subsidiary Wuhan Zhongji entered into a limited partnership agreement with Yangtze River Venture Capital, Hubei Port and Shipping, Wuhan Port and Shipping, and Hubei Hanjiang to establish a fund with a total capital contribution of RMB 300 million (approximately HKD 351 million). Wuhan Zhongji (as a limited partner) will contribute RMB 8 million to the fund, accounting for about 2.66% of the total capital commitment. The Group is continually seeking potential investment opportunities. The Board of Directors believes this presents a good opportunity for the Group to earn investment returns and generate income from its idle funds. Specifically, Yangtze River Venture Capital has extensive experience in fund management, and the fund plans to invest in Hubei Hanjiang, which has been profitable since its establishment and has good business prospects, as elaborated further below. The fund manager, Yangtze River Venture Capital, possesses rich experience in fund management and a strong track record. According to the information available to the Company, Yangtze River Venture Capital currently directly manages 22 funds, with a total value of approximately RMB 38.8 billion. Moreover, the fund management platform has participated in setting up over 200 funds, totaling more than RMB 700 billion in scale. Yangtze River Venture Capital boasts a professional investment team with a strong academic background, where the majority of members hold master's and doctoral degrees from domestic and foreign universities, with expertise spanning various fields including finance, economics, engineering, and law. The team has rich experience in equity investment, industrial resource allocation, and fund operation. Based on available information to the Company, the Board believes that the large team of professionals at Yangtze River Venture Capital possesses strong financing and resource integration capabilities, which can assist the fund in generating investment returns for the Group. The targeted investment of the fund is Hubei Hanjiang, an important platform for the investment, construction, and operation of the Hanjiang shipping infrastructure and green energy. Its business includes shipping and hydropower hubs, ports, waterways, and shipping facilities. As the core implementing body of the "Hanjiang Shipping Integration" in Hubei, Hubei Hanjiang Development aligns closely with national inland shipping development policies such as the "14th Five-Year Plan for Water Transport Development" and the "Action Plan for Implementing the Connectivity Project of the Inland Water Transport System," providing long-term policy-driven growth momentum. The policy framework emphasizes the construction of high-grade waterways, enhancing the carrying capacity of port hubs, promoting multimodal interconnectivity, advancing intelligent, green, and safe water transport, and collectively providing strong demand and funding support for the Hanjiang Corridor. According to information available to the Company, Hubei Hanjiang currently operates two hubs along the Hanjiang River, namely the Cuijiaying hydropower hub and the Yakou shipping hub. The total installed capacity of the power plant is 165,000 kilowatts, equipped with two 1,000-ton ship locks to provide stable support for navigation and power generation. It currently operates in five port areas, including Xiangyang Xiaohe Port, Zhongxiang Shipai Port, Shayang Central Port, Qianjiang Zekou Port, and Xiangyang Port Tangbaihe Port. These port areas have 20 berths, 2,463.5 meters of shoreline, a designed port throughput of 17.03 million tons, and 171,800 square meters of storage yard, exhibiting the capability for large-scale throughput and comprehensive service. According to the audited comprehensive financial data of Hubei Hanjiang, for the fiscal year ending December 31, 2025, it achieved revenue exceeding RMB 432 million, with a net profit exceeding RMB 110 million.