Dior Water Huasheng Group Co., Ltd. Announcement on the Conversion of Convertible Bonds in the First Quarter of 2026

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Stock code: 002798 | Stock abbreviation: Ours Water and Fire | Announcement No.: 2026-025

Bond code: 127047 | Bond abbreviation: Ours Convertible Bond

Ours Water and Fire Group Co., Ltd.

Announcement on the Conversion of Ours Convertible Bonds into Shares During the First Quarter of 2026

The Company and all members of the Board of Directors hereby guarantee that the information disclosure is true, accurate, and complete, and contains no false records, misleading statements, or material omissions.

Special Notice

1. Stock code: 002798; stock abbreviation: Ours Water and Fire;

2. Bond code: 127047; bond abbreviation: Ours Convertible Bond;

3. Conversion price: RMB 5.10 per share;

4. Conversion period: from April 29, 2022 to October 24, 2027;

5. In the first quarter of 2026, “Ours Convertible Bond” decreased by 1,878,251 bond lots due to conversion (amounting to RMB 187,825,100.00), with a conversion quantity of 36,828,305 shares; all shares were newly issued shares.

In accordance with the relevant provisions of the Shenzhen Stock Exchange’s Rules Governing the Listing of Stocks and the Shenzhen Stock Exchange’s Self-Regulatory Guidance No. 15—Convertible Corporate Bonds, Ours Water and Fire Group Co., Ltd. (hereinafter referred to as the “Company”) hereby announces the conversion of its convertible corporate bonds (hereinafter referred to as the “convertible bonds” or “Ours Convertible Bond”) and changes in the Company’s shares during the first quarter of 2026, as follows:

I. Overview of the Issuance and Listing of Convertible Corporate Bonds

(I) Issuance of Convertible Corporate Bonds

Approved by the China Securities Regulatory Commission document “CSRC License [2021] No. 513”, the Company publicly issued 15,000,000 lots of convertible bonds on October 25, 2021, with a par value of RMB 100 per lot and a total issuance amount of RMB 1.5B.

(II) Listing of Convertible Bonds

With the approval of the Shenzhen Stock Exchange document “SZSE Approval [2021] No. 1151”, the Company’s convertible bonds with an amount of RMB 1.5B were listed and began trading on the Shenzhen Stock Exchange from November 26, 2021. Bond abbreviation: “Ours Convertible Bond”; bond code: “127047”.

(III) Conversion of Convertible Bonds

Pursuant to the relevant arrangements in the “Prospectus for the Public Offering of Convertible Corporate Bonds by Ours Water and Fire Group Co., Ltd.” (hereinafter referred to as the “Prospectus”), the conversion period of the “Ours Convertible Bond” issued by the Company begins on the first trading day after 6 months from the date of completion of the issuance of the convertible bonds (April 29, 2022) and ends on the bond maturity date (October 24, 2027).

(IV) Adjustment to the Conversion Price of the Convertible Bonds

1. Initial conversion price

The initial conversion price of “Ours Convertible Bond” is RMB 13.53 per share, which is not lower than the company’s average stock trading price over the 20 trading days prior to the announcement date of the Prospectus (if, within those 20 trading days, the stock price was adjusted due to ex-rights or ex-dividend events caused by adjustments for dividends or rights, the average trading price for the trading days prior to adjustment shall be calculated based on the price after the corresponding ex-rights/ex-dividend adjustments) and the company’s average stock trading price on the immediately preceding trading day.

2. Adjustments to the conversion price

(1) First adjustment to the conversion price

On June 2, 2022, the Company completed the implementation of the 2021 equity distribution plan. Cash dividends of RMB 2.00 per 10 shares (including tax) were distributed to all shareholders; no bonus shares were distributed; and no shares were capitalized from capital reserves. Pursuant to the Prospectus and the CSRC’s relevant provisions regarding convertible corporate bonds issued by listed companies, the conversion price of “Ours Convertible Bond” was adjusted from RMB 13.53 per share to RMB 13.33 per share. The adjusted conversion price took effect on June 2, 2022. For details, please refer to the Company’s “Announcement on the Adjustment of the Conversion Price of Ours Convertible Bond” disclosed on May 27, 2022 in China Securities Journal, Shanghai Securities News, Securities Times, Securities Daily, and on the website of Juchao Information (www.cninfo.com.cn) (Announcement No.: 2022-063).

(2) Second adjustment to the conversion price

After review and approval by the Company’s 2021 annual general meeting of shareholders, the Company proceeded to repurchase and cancel the restricted shares held by 16 incentive participants under the 2020 restricted stock incentive plan who no longer met the incentive qualification due to resignation, totaling 167,500 shares that had already been granted but not yet released from restrictions; the repurchase price was RMB 10.86 per share. It also repurchased and canceled the restricted shares held by 1 incentive participant who, after retirement and rehiring, no longer met the incentive qualification due to resignation, totaling 12,500 shares that had already been granted but not yet released from restrictions; the repurchase price was RMB 10.86 per share plus the sum of interest on the same period deposits from the People’s Bank of China. It further repurchased and canceled the restricted shares held by the remaining 143 incentive participants who did not meet the conditions for release from restrictions, relating to the second release from restrictions period plan, totaling 1,752,500 shares; the repurchase price was RMB 10.86 per share plus the sum of interest on the same period deposits from the People’s Bank of China. Pursuant to the Prospectus and the CSRC’s relevant provisions regarding convertible corporate bonds issued by listed companies, the conversion price of “Ours Convertible Bond” was adjusted from RMB 13.33 per share to RMB 13.34 per share. The adjusted conversion price took effect on July 21, 2022. For details, please refer to the Company’s “Announcement on the Adjustment of the Conversion Price of Ours Convertible Bond” disclosed on July 21, 2022 in China Securities Journal, Shanghai Securities News, Securities Times, Securities Daily, and on the website of Juchao Information (www.cninfo.com.cn) (Announcement No.: 2022-094).

(3) Third adjustment to the conversion price

On October 15, 2024, the Company held the 25th meeting of the Fifth Session of the Board of Directors, which considered and approved the “Proposal to Downwardly Adjust the Conversion Price of Ours Convertible Bond” and submitted it to the Company’s 4th Extraordinary General Meeting of Shareholders of 2024 for review. On October 31, 2024, the Company held the 4th Extraordinary General Meeting of Shareholders of 2024, and approved the “Proposal to Downwardly Adjust the Conversion Price of Ours Convertible Bond” by a special resolution. The meeting agreed to downwardly adjust the conversion price of “Ours Convertible Bond” and authorized the Board of Directors to fully handle all matters related to this downward adjustment of the conversion price of “Ours Convertible Bond” in accordance with the relevant terms of the Prospectus. On October 31, 2024, the Company held the 27th meeting of the Fifth Session of the Board of Directors, which considered and approved the “Proposal to Downwardly Adjust the Conversion Price of Ours Convertible Bond”. Based on the relevant provisions of the Prospectus and the authorization from the 4th Extraordinary General Meeting of Shareholders of 2024, the Company’s Board of Directors decided to downwardly adjust the conversion price of “Ours Convertible Bond” from RMB 13.34 per share to RMB 5.1 per share. The adjusted conversion price took effect from November 1, 2024. For details, please refer to the Company’s “Announcement on the Downward Adjustment of the Conversion Price of Ours Convertible Bond” disclosed on November 1, 2024 in China Securities Journal, Shanghai Securities News, Securities Times, Securities Daily, and on the website of Juchao Information (www.cninfo.com.cn) (Announcement No.: 2024-126).

II. Conversion of Ours Convertible Bonds and Changes in Share Capital

In the first quarter of 2026, “Ours Convertible Bond” decreased by 1,878,251 bond lots due to conversion (amounting to RMB 187,825,100.00 yuan), and the conversion quantity was 36,828,305 shares: of which 36,828,305 shares were newly issued shares, and 0 shares were treasury shares held in the Company’s securities account for share repurchase (the Company’s first repurchase of shares was conducted on September 18, 2024 for conversion of convertible bonds). As of March 31, 2026, the remaining number of convertible bond lots was 6,558,573 lots (the outstanding balance of convertible bonds was RMB 655,857,300.00).

Table 1: Changes in the Company’s Shares in the First Quarter of 2026

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III. Other Matters

If investors would like to learn more about other relevant information regarding Ours Convertible Bond, please consult the “Prospectus for the Public Offering of Convertible Corporate Bonds by Ours Water and Fire Group Co., Ltd.” published on October 21, 2021 on the website of Juchao Information (www.cninfo.com.cn).

IV. Documents for Reference

1. The Shenzhen Branch of China Securities Depository and Clearing Co., Ltd. providing the equity structure table of “Ours Water and Fire” as of March 31, 2026;

2. The Shenzhen Branch of China Securities Depository and Clearing Co., Ltd. providing the equity structure table of “Ours Convertible Bond” as of March 31, 2026;

3. The Shenzhen Branch of China Securities Depository and Clearing Co., Ltd. providing the detail table of conversion/replacement of “Ours Convertible Bond”.

This announcement is hereby made.

Ours Water and Fire Group Co., Ltd.

Board of Directors

April 2, 2026

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