ARTA TECHFIN (00279) announced, referring to its October 6, 2016 announcement regarding a petition brought by the Securities and Futures Commission (SFC) as petitioner against former directors of the company. On February 10, 2026, the SFC issued a statement confirming it had obtained orders from the Hong Kong Court of First Instance. These orders include: 1. A compensation order requiring former non-executive director Mr. Liao Junleng and former managing director Mr. Xu Guangxi to compensate the company HK$57.5 million for financial losses incurred from the company's acquisition and subsequent disposal of equity in Liao's Group Company Limited (the Relevant Actions); 2. Disqualification orders against Mr. Liao Junleng, Mr. Xu Guangxi, and seven other former directors of the company (collectively, the "Relevant Directors").

The company's board of directors wishes to highlight the following points: 1. As detailed in the company's announcements dated December 10, 2010, and May 17, 2011, and its circulars dated December 30, 2010, and June 25, 2011, the Relevant Actions involved the acquisition and subsequent disposal of a 24.43% stake in Liao's Group Company Limited over several months in 2011, resulting in an approximate loss of HK$76.8 million for the company. 2. The Relevant Actions occurred well before the trading suspension of the company's shares on February 28, 2020, following the appointment of provisional liquidators, and before the resumption of trading on November 1, 2021, after the completion of a debt restructuring of the company and its subsidiaries. 3. Mr. Liao Junleng resigned as a non-executive director effective January 15, 2015, and Mr. Xu Guangxi resigned as an executive director, managing director, and authorized representative effective January 24, 2017. All other Relevant Directors had resigned from the board before January 25, 2017. 4. None of the current board members were involved in the Relevant Actions. All current board members and the current company secretary were appointed on or after October 29, 2021, and each director is unconnected and independent from the Relevant Directors.

Furthermore, considering (i) the absence of any adverse relief or orders against the company itself; (ii) the fact that the board's composition has not remained entirely unchanged since the Relevant Actions; and (iii) the compensation order in the company's favor, the board believes the SFC's petition and the aforementioned court orders have not caused any significant adverse impact or disruption to the company's operations and business. The company will issue further announcements to update shareholders and investors on developments as appropriate.