COSMOS MACH (00118) announced that on February 5, 2026 (after trading hours), the seller, Hefei Cosmos Gelan Plastic Industry Co., Ltd. (an indirect wholly-owned subsidiary of the company), entered into an equity transfer agreement with the buyer, Mr. Diao Junde. The seller has agreed to sell, and the buyer has agreed to acquire, the entire equity interest in the target company, Hefei Gelanmei New Materials Co., Ltd., for a consideration of RMB 4.6495 million. Upon completion of the transaction, the group will no longer hold any interest in the target company, and the target company will cease to be a subsidiary of the company. As the business operated by the target company is not part of the seller's core operations and the target company has incurred losses for three consecutive years, the board of directors believes that the disposal is appropriate to mitigate the operational risks arising from the target's continued losses and to allow the group to focus on its core business.