1. Article 73 of the Company Law of People's Republic of China (PRC) stipulates: "When a parent company increases its capital to a subsidiary, it shall report to the board of directors or the shareholders' meeting and report to the company registration authority within a reasonable time. "
2. Article 96 of the Securities Law stipulates: "Related party transactions shall be open, fair, just and timely, and shall not harm the interests of listed companies and minority shareholders. However, transactions with subsidiaries are excluded. "
Related party transactions refer to commercial transactions between a company and its shareholders, executives, subsidiaries, related parties and other related persons or entities.