CIRC (01763.HK): To Commit RMB400m to RMB3bn Nuclear Technology Fund in Connected Transaction

NewTimeSpace News: On 29 September 2026, China Isotope & Radiation Corporation (stock code: 01763) issued a circular providing information on the partnership agreement and other matters and giving notice of an extraordinary general meeting: the Company intends to enter into a partnership agreement with CNNC Fund, CNNC, CNNC Capital, the National Industrial Investment Fund, the Zhejiang Venture Capital Guidance Fund, Jiaxing Changchuang Industrial Investment and Haiyan County State-owned Capital Investment to establish the CNNC (Zhejiang) Nuclear Technology Application Industry Investment Fund Partnership (Limited Partnership), registered in Haiyan County, Jiaxing City, Zhejiang Province, with total subscribed capital of RMB3 billion, of which the Company will subscribe RMB400 million, representing 13.33%.

Other partners will subscribe as follows: the National Industrial Investment Fund RMB1 billion (33.33%), CNNC RMB200 million (6.67%), CNNC Capital RMB170 million (5.67%), the Zhejiang Venture Capital Guidance Fund, Jiaxing Changchuang Industrial Investment and Haiyan County State-owned Capital Investment RMB400 million each (13.33% each), and CNNC Fund RMB30 million (1%). The fund has an eight-year term with a four-year investment period and will invest 100% in nuclear technology applications, focusing on isotope production, nuclear medical and high-end equipment, and key components and upstream materials. The Company will not consolidate the fund's financial statements and will fund its contribution from internal resources.

Distributions will follow the order of return of capital, an 8% simple-interest hurdle, and then 20% of excess returns to the general partner and 80% pro rata to limited partners by paid-in capital; management fees are 1.8% per annum of paid-in capital during the investment period and 1.5% per annum of the investment principal of unexited projects thereafter. An investment committee of five members decides by at least four-fifths approval, and the Company and three other partners may each appoint one observer.

Under the Listing Rules, CNNC directly and indirectly holds approximately 73.83% of the Company's issued share capital and is the controlling shareholder and a connected person, while CNNC Capital and CNNC Fund are wholly-owned subsidiaries of CNNC; the partnership agreement therefore constitutes a connected transaction. As one or more applicable percentage ratios exceed 5% but are below 25%, it is subject to reporting, announcement, annual review and independent shareholders' approval requirements, and also constitutes a discloseable transaction. The circular also covers the proposed appointment of Mr. Li Penghui as an executive director, an interim dividend of RMB0.0994 per share (RMB31,795,565.06 in total) and a proposed general mandate to issue shares; the EGM will be held in Beijing on 21 October 2026.

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