SCHEDULE: X Financial Insider Boosts Stake to 49.01%

Yue (Justin) Tang and affiliated entities have increased their beneficial ownership in X Financial to 49.01% through recent share acquisitions.

Summary

• Yue (Justin) Tang, along with Mangrove Coast Investment Limited and Purple Mountain Holding Ltd., collectively beneficially own 114,934,942 ordinary shares of X Financial, representing 49.01% of the total outstanding shares.
• This ownership includes 1,165,278 Class A ordinary shares (in the form of 194,213 ADSs) and 97,600,000 Class B ordinary shares held by Mangrove Coast Investment Limited.
• Purple Mountain Holding Ltd. holds 4,068,241 Class A ordinary shares (1,548,714 Class A in form of 258,119 ADSs and 2,519,527 Class A ordinary shares).
• Mr. Tang directly holds 6,197,778 Class A ordinary shares (in the form of 1,032,963 ADSs) and 5,903,645 Class A ordinary shares.
• Mr. Tang acquired 194,213 ADSs through open market purchases in December 2025 using personal funds.
• Mr. Tang also acquired 250,000 ADSs in November 2025 and 8,333 ADSs in January 2026 through RSU vesting.
• The percentage of class is calculated based on 234,517,901 ordinary shares issued and outstanding as of December 31, 2025, assuming conversion of all Class B shares to Class A.
• Class B ordinary shares carry twenty votes per share and are convertible to Class A on a one-for-one basis, while Class A shares carry one vote per share.

Sentiment

Score: 8

Explanation: StockSavvy.ai views this as a strong positive signal, as significant insider accumulation, particularly through personal funds, typically reflects high confidence in the company's future performance and valuation.

Positives

• Increased beneficial ownership by a key insider, Yue (Justin) Tang, to 49.01% signals strong confidence in the company's future.
• Recent acquisitions by Mr. Tang, including 194,213 ADSs purchased with personal funds in December 2025, demonstrate a direct financial commitment.
• Additional share acquisitions through RSU vesting (250,000 ADSs in November 2025 and 8,333 ADSs in January 2026) further align management's interests with shareholders.

Risks

• Future decisions regarding the investment may be influenced by changes in law and government regulations.
• General economic conditions could impact the investment strategy of the reporting persons.
• Money and stock market conditions, including the market price of the securities, are factors that may affect future actions.

Future Outlook

The reporting persons acquired shares for investment purposes and intend to review the investment regularly. They reserve the right to acquire additional securities, dispose of existing holdings, or take other actions based on factors such as the Issuer's business and prospects, regulatory changes, economic conditions, and market price. There is no present intention to acquire additional securities.

Management Comments

• The Reporting Persons acquired the Class A ordinary shares of the Issuer reported herein for investment purposes.
• Although the Reporting Persons have no present intention to acquire additional securities of the Issuer, the Reporting Persons intend to review the investment on a regular basis.
• Reporting Persons may at any time or from time to time determine to acquire additional securities, dispose of all or a portion of securities, or take any other available course of action.
• Any such acquisition or disposition or other transaction would be made in compliance with all applicable laws and regulations.

Industry Context

StockSavvy.ai notes that increased insider ownership, especially through open market purchases, often signals management's confidence in the company's valuation and future prospects, which can be a positive indicator for investors. This is particularly relevant in the financial services industry where stability and strong leadership are highly valued.

Comparison to Industry Standards

• Not applicable as this filing reports beneficial ownership changes, not operational or financial results.

Stakeholder Impact

• Shareholders: Increased insider ownership may be viewed positively as it aligns management's interests with shareholders. However, the dual-class share structure with Class B shares having 20 votes per share means that Mr. Tang and his affiliated entities wield significant voting control, potentially limiting the influence of other Class A shareholders.

Next Steps

• The reporting persons intend to review their investment on a regular basis.
• They may, at any time, acquire additional securities, dispose of existing holdings, or take other available courses of action, subject to applicable laws and regulations.

Key Dates

Recommendation

The significant increase in beneficial ownership by a key insider, Yue (Justin) Tang, to nearly 50% of the company, including substantial open market purchases with personal funds, is a strong indicator of confidence in the company's future prospects and intrinsic value. This insider buying, coupled with RSU vesting, suggests a deep alignment of interests between management and shareholders, making the stock an attractive "buy" for long-term investors.

Keywords

X Financial, Schedule 13D, beneficial ownership, insider ownership, Yue Justin Tang, Class A shares, Class B shares, ADSs, RSU vesting, share acquisition, corporate governance, investment