China Xinhua Education Group Limited (CH XINHUA EDU) has released supplementary information on its planned replacement of KPMG with Rongcheng (Hong Kong) CPA Limited as external auditor for the financial year ending 31 December 2026, subject to shareholder approval at the annual general meeting (AGM) on 16 June 2026.

Key points • Auditor transition: KPMG will retire at the AGM after completing its current term. Rongcheng has been nominated to assume audit responsibilities for the 2026 financial year. • Governance rationale: The Board and Audit Committee view periodic auditor rotation as a good corporate-governance practice that enhances auditor independence and serves shareholder interests. • Audit Committee assessment: The committee evaluated Rongcheng against seven criteria—independence, governance and leadership, ethical compliance, industry expertise, engagement performance, communication, and monitoring processes—concluding that Rongcheng meets all quality and resource requirements. • Firm profile: Rongcheng is a registered Public Interest Entity auditor (registration number M0298), currently auditing more than 55 Hong Kong–listed companies, including businesses operating in both Hong Kong and mainland China and in the education sector. Many of its partners and senior staff have prior experience at Big Four firms. • Selection process: In early March 2026 the Company sought service plans and fee quotations from KPMG, Rongcheng and other firms. Following internal review, the Audit Committee recommended Rongcheng on 14 April 2026, and the Board approved the proposal the same day. • Audit timetable: Rongcheng has provided a timetable deemed viable for completing the 2026 audit within agreed deadlines.

All other details in the original 14 April 2026 announcement remain unchanged.