Cathay Financial Holdings Announces Subsidiary Cathay Life's Acquisition of Ordinary Shares in Po-Shan Water Corporation

1. Name and nature of the target (if preferred shares, specify issuance terms such as dividend rate):
Po-Shan Water Corporation
Ordinary shares

2. Date on which the event occurred: 115/6/26 ~ 115/6/26

3. Board approval date: Not applicable

4. Other approval dates:
Approval level: Approved by General Manager
June 26, 2026 (Minguo Year 115)

5. Number of units, unit price, and total transaction amount:
(1) Transaction quantity: 63,000,000 shares
(2) Unit price: Approximately NT$10.00 per share
(3) Total transaction amount: Approximately NT$630,000,000

6. Counterparty and its relationship with the company (if the counterparty is an individual and not a related party, name disclosure may be omitted):
(1) Po-Shan Water Corporation
(2) Relationship with the company: None

7. If the counterparty is a related party, disclose the reason for selection, previous transferor, relationships among previous transferor, company, and counterparty, transfer date, and amount:
Not applicable

8. If the target's ownership within the past five years included a related party of the company, disclose the related party's acquisition and disposal dates, prices, and relationship with the company at the time:
Not applicable

9. Matters related to the disposal of receivables (including types of collateral attached to disposed receivables; if receivables from related parties are involved, disclose names and book amounts):
Not applicable

10. Gains (or losses) from disposal (not applicable for acquisition of securities) (if deferred, provide a table showing recognition):
Not applicable

11. Delivery or payment terms (including payment schedule and amounts), contractual restrictions, and other important agreements:
(1) Full payment in cash
(2) Implemented according to contract terms

12. Decision-making method for this transaction, reference basis for pricing, and decision-making unit:
Based on internal evaluation report and approval authority

13. Net asset value per share of the target securities issuer:
NT$9.96

14. Cumulative holdings of these securities (including this transaction) to date, including quantity, amount, ownership percentage, and any restrictions (e.g., pledge status):
(1) 63,000,000 shares
(2) NT$630,000,000
(3) Ownership ratio: 25.0%
(4) None

15. Cumulative securities investments under Article 3 of the 'Regulations on Acquisition or Disposition of Assets by Publicly Issued Companies' (including this transaction) as a percentage of total assets and equity attributable to owners of the parent in the latest financial statements, and the amount of working capital in the latest financial report:
(1) Percentage of total assets: 74.25%
(2) Percentage of shareholders' equity: 778.86%
(3) Working capital in latest financial report: NT$148.2 billion

16. Broker and brokerage fees:
Not applicable

17. Specific purpose or use of the acquisition or disposal of securities:
For life insurance fund deployment in accordance with the Insurance Act

18. Dissenting opinions from directors regarding this transaction:
None

19. Whether this transaction is a related-party transaction: No

20. Date of auditor's acknowledgment or audit committee approval:
Not applicable

21. Whether the accountant issued a non-reasonableness opinion for this transaction: Not applicable

22. Name of accounting firm:
Not applicable

23. Name of accountant:
Not applicable

24. Accountant's license number:
Not applicable

25. Whether this involves a change in business model: No

26. Explanation of business model change:
Not applicable

27. Transaction history with the counterparty in the past year and expected in the next year:
Not applicable

28. Source of funds:
Available funds from insurance operations

29. Previous date of material information disclosure on the same event: Not applicable

30. Other explanatory matters:
None