Health Yuan Pharmaceutical Group Co., Ltd. Announcement on the Progress of Providing Guarantees for Subsidiaries

Stock Code: 600380 Stock Abbreviation: Healthy Yuan Announcement No.: Lin 2026-023

Healthy Yuan Pharmaceutical Group Co., Ltd.

Announcement on the Progress of Providing Guarantees for Wholly Owned Subsidiaries

The board of directors and all directors of this Company hereby guarantee that the contents of this announcement do not contain any false statements, misleading representations or material omissions, and assume legal responsibility for the truthfulness, accuracy, and completeness of the contents.

Key Matters:

● Scope of the Guarantee and Basic Information

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● Cumulative Guarantee Situation

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I. Overview of the Guarantee

(I) Basic Details of the Guarantee

In March 2026, due to the needs of daily operations and business development, Healthy Yuan Pharmaceutical Group Co., Ltd. (hereinafter referred to as: this Company) entered into a guarantee agreement with China CITIC Bank Co., Ltd. Shenzhen Branch (hereinafter referred to as: CITIC Bank), under which the guaranteed party is Shenzhen Haibin Pharmaceutical Co., Ltd. (hereinafter referred to as: Haibin Pharmaceutical), and the guarantee amount is RMB 100M.

The guaranteed party of this guarantee is the Company’s wholly owned subsidiary. This guarantee does not constitute a related-party guarantee.

(II) Internal Decision-Making Procedures

On April 7, 2025, this Company convened the 8th meeting of the 9th session of the board of directors, which considered and approved the “Proposal on the Company’s Credit Facilities Financing and Providing Financing Guarantee for Subordinate Subsidiaries,” agreeing that the Company would apply to banks such as the China Development Bank for credit facilities financing with a maximum total amount of no more than RMB 24.6 billion or an equivalent amount in foreign currency, and agreeing that the Company would provide joint and several liability guarantees for Shenzhen Haibin Pharmaceutical Co., Ltd., Shenzhen Taitai Pharmaceutical Co., Ltd., and other wholly owned and holding subsidiaries to apply to banks such as the China Development Bank for credit facilities financing with a maximum total amount of no more than RMB 20.2B or an equivalent amount in foreign currency. At the same time, it was also agreed that the board of directors would authorize the Company’s legal representative or its authorized person to sign relevant documents regarding the Company’s credit facilities financing and the financing guarantees to be provided for the subordinate subsidiaries. The Company shall assume joint and several liability. This proposal has already been approved at the 2024 annual general meeting of shareholders of the Company. For details, please refer to the “Announcement on the Company’s Credit Facilities Financing and Providing Financing Guarantee for Subordinate Subsidiaries” of Healthy Yuan Pharmaceutical Group Co., Ltd. (Lin 2025-022) and the “Announcement on Resolutions of the 2024 Annual General Meeting of Shareholders” of Healthy Yuan Pharmaceutical Group Co., Ltd. (Lin 2025-048).

(III) Basic Information of the Estimated Guarantee

Unit: RMB 10,000

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(IV) Adjustment of Guarantee Quotas

In March 2026, this Company has no circumstances involving adjustment of guarantee quotas.

II. Basic Information of the Guaranteed Party

(I) Basic Information

1. Haibin Pharmaceutical

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III. Main Contents of the Guarantee Agreement

(I) The “Maximum Amount Guarantee Contract” signed by this Company with CITIC Bank, the main contents related to the guarantee are as follows:

1. Guaranteed party: Haibin Pharmaceutical

2. Guarantee method: joint and several liability guarantee

3. Guarantee amount: RMB 100M

4. Guarantee term: three years from the date following the expiration of the performance period of the debt of the guaranteed party under the principal contract.

5. Counter-guarantee: none

IV. Necessity and Reasonableness of the Guarantee

The newly added guarantee agreement this month is mainly to enable the Company to meet the needs of daily production and operations of its subsidiaries. The Company’s current operating condition is good, there are no significant breaches, there are no major lawsuits or arbitration matters, and there are no major contingent matters that could affect repayment capacity. The Company has the ability to repay debts. The overall guarantee risk is controllable. There is no circumstance that harms the interests of the Company and its minority shareholders. It is necessary and reasonable.

V. Board of Directors’ Opinions

On April 7, 2025, this Company convened the 8th meeting of the 9th session of the board of directors, which considered and approved the “Proposal on the Company’s Credit Facilities Financing and Providing Financing Guarantee for Subordinate Subsidiaries,” agreeing that the Company would apply to banks such as the China Development Bank for credit facilities financing with a maximum total amount of no more than RMB 24.6 billion or an equivalent amount in foreign currency, and agreeing that the Company would provide joint and several liability guarantees for Shenzhen Haibin Pharmaceutical Co., Ltd., Shenzhen Taitai Pharmaceutical Co., Ltd., and other wholly owned and holding subsidiaries to apply to banks such as the China Development Bank for credit facilities financing with a maximum total amount of no more than RMB 20.2B or an equivalent amount in foreign currency. Meanwhile, it was also agreed that the board of directors would authorize the Company’s legal representative or its authorized person to sign relevant documents regarding the Company’s credit facilities financing and the financing guarantees to be provided for the subordinate subsidiaries, and the Company shall assume joint and several liability.

VI. Cumulative Number of External Guarantees and Number of Overdue Guarantees

As of March 31, 2026, the Company’s total guarantee balance was RMB 1.95B, of which the guarantee balance for subsidiaries with an asset-liability ratio above 70% was RMB 766.72M, and the guarantee balance for subsidiaries and associates with an asset-liability ratio below 70% was RMB 1.19B. The above guarantee balance accounts for 12.86% of the net assets attributable to the shareholders of the listed company of the Company in its most recent audited financial statements (RMB 15.18B). Among them, the total guarantee balance for the Company’s wholly owned and holding subsidiaries was RMB 1.68B, and the total guarantee balance for the Company’s associate Jin Guan Electric was RMB 274.4M.

As of March 31, 2026, this Company and its holding subsidiaries have no overdue external guarantees.

VII. List of Documents for Reference

The “Maximum Amount Guarantee Contract” signed by this Company with CITIC Bank.

This announcement is hereby issued.

Healthy Yuan Pharmaceutical Group Co., Ltd.

April 4, 2026

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