CR Medical to End Mentougou Hospital IOT Agreements; RMB4.36 Million Balance Due by July 2026

Bulletin Express06-26

China Resources Medical Holdings Company Limited (CR Medical) announced the early termination of its Invest-Operate-Transfer (IOT) arrangements with the Mentougou District People’s Government of Beijing Municipality regarding two not-for-profit facilities—the Mentougou Traditional Chinese Medicine Hospital and the Mentougou Healthcare Hospital for Women and Children.

Key points • Original term: The IOT agreements, signed between 2012 and 2014 and due to run until 31 December 2030, will now conclude on 1 July 2026. • Historical investment: The Group previously injected Cooperation & Development Funds totaling RMB40.00 million into each hospital for operational and development purposes. Repayments have been made in instalments. • Management income: CR Medical has provided management services to the two hospitals for an annual fee of about RMB3.30 million. • Settlement terms: A supplemental agreement dated 26 June 2026 stipulates that the outstanding Cooperation & Development Funds and unpaid management fees—net of other deductions—amounting to approximately RMB4.36 million must be repaid to CR Medical by 30 July 2026. • Impact statement: The Board expects no material adverse effect on the Group’s financial position from the early termination.

The company advises shareholders and potential investors to exercise caution when dealing in its shares.

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