Yiren Digital Expands AI Application-Layer Strategic Investments

Covering AI Entertainment, AI-Assisted Language Learning, and AI Research Productivity

Supported by Structured Investment Options and Future Ownership Rights

BEIJING, May 26, 2026 /PRNewswire/ -- Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"), a leading fintech company specializing in digital consumer lending, insurance and financial technology innovation across China and global markets, today announced the completion of strategic follow-on investments in three early-stage, high-growth AI application companies. These companies operate across emerging artificial intelligence application domains, with a focus on AI entertainment, AI-assisted language learning, and AI research productivity, further expanding the Company's "All-in-AI" ecosystem.

In addition to existing preferred equity positions, the Company has entered into performance-based equity warrants providing the right, but not the obligation, to acquire additional equity interests at pre-agreed valuation terms. Subject to defined performance milestones and payment of consideration, the Company may increase its ownership position, including potentially obtaining majority control in certain portfolio companies.

These arrangements are staged investment rights and do not constitute current control, de facto control, or consolidation. Any future change in ownership will occur only upon satisfaction of contractual conditions and completion of required payments, and all subsequent exercises will be subject to applicable regulatory requirements and corporate governance procedures.

The Company believes artificial intelligence is evolving from foundational infrastructure into large-scale commercial applications that directly shape user behavior and digital experiences, with the application layer expected to be a key long-term value-creation segment across education, media, and consumer-facing verticals.

Through its AI application-layer strategy, the Company invests in early-stage AI businesses close to end users, balancing strategic exposure, capital efficiency, and long-term optionality.

The Company maintains minority positions with staged pathways for potential future ownership increases, enabling participation in the growth of AI-native companies while maintaining disciplined capital allocation. These investments also complement the Company's broader "All-in-AI" transformation and ongoing expansion of its AI capabilities.

Strategic Rationale: Building an Agentic AI Ecosystem

The Company views the AI industry as evolving beyond generative interfaces toward autonomous, context-aware, and action-oriented systems. Agentic AI is expected to become a foundational layer of future digital interaction, enabling AI agents to execute complex tasks and support decision-making across consumer and enterprise environments. Through this lens, Yiren Digital is constructing an interconnected AI application ecosystem designed to generate strategic synergies across content, education, productivity, and entertainment. This approach aims to reinforce user acquisition, data intelligence, and cross-platform monetization over the long term.

Portfolio Overview: Targeting High-Growth Verticals

The newly added portfolio companies represent targeted exposure to distinct, high-growth AI verticals:

• An AI-native entertainment company founded by Gen-Z creators that develops interactive storytelling and fan-driven content ecosystems, now building its own IP into a multi-format entertainment universe with strong early user growth and monetization potential.
• A company aligned with leading AI-driven education platforms and focused on personalized learning at scale. It leverages generative AI to deliver adaptive learning experiences that improve efficiency, accessibility, and user engagement across language and skill development markets, and is highly scalable.
• A specialized AI education technology company focused on academic productivity. It applies generative AI and knowledge systems to streamline research workflows, improve information validation, and reduce publishing friction, addressing a growing demand for AI-enabled professional research and publication tools in academic area.

Strategic Outlook and Enterprise Transformation

Looking ahead, Yiren Digital intends to continue expanding its presence in the AI application economy. Future strategic investments are expected to focus on sectors where the Company believes artificial intelligence can meaningfully change how users learn, interact, and consume content, including intelligent digital engagement platforms, AI-powered media ecosystems, and autonomous workflow systems.

In parallel, the Company continues to advance its enterprise-wide AI transformation. By integrating its proprietary AI architecture and internal agentic workflows with external ecosystem investments, Yiren Digital believes it can participate across multiple layers of AI-driven value creation over the long term.

About Yiren Digital

Yiren Digital Ltd. is a leading fintech company specializing in digital consumer lending, insurance, and financial technology innovation across China and global markets. The Company leverages advanced artificial intelligence and emerging technologies to enhance customer experience, optimize capital efficiency, and expand financial inclusion. Following the regulatory filing of its in-house developed Large Language Model Zhiyu, and the significant enhancement of its MagiCube Agent platform, Yiren Digital is establishing a new growth engine to accelerate its evolution into an AI-native, multi-industry operating platform extending beyond traditional financial services. For more information, please visit https://ir.yiren.com.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "target," "confident," and similar expressions.

Forward-looking statements are based on management's current expectations, assumptions, and assessments of current market and operating conditions. These statements involve inherent risks, uncertainties, and other factors, many of which are outside the control of Yiren Digital Ltd. (NYSE: YRD) (the "Company"), and which could cause actual results to differ materially from those expressed or implied in such statements.

Such risks and uncertainties include, but are not limited to, significant fluctuations in loan origination volumes, changes in credit performance and delinquency trends, variations in take rates and monetization efficiency, availability and cost of funding, and the Company's ability to achieve its anticipated financial results or previously issued guidance.

In addition, the Company operates in a highly regulated industry in the People's Republic of China ("PRC"), and its business is materially affected by the evolving regulatory framework applicable to credit facilitation, consumer finance, online lending-related services, data security, and financial risk management. Regulatory policies and implementation measures in these areas have undergone, and may continue to undergo, significant and rapid changes, including changes in interpretation and enforcement.

Such regulatory developments may include, but are not limited to, adjustments to risk retention and capital requirements, restrictions on pricing, interest rates, or service fees, enhanced consumer protection and compliance obligations, data privacy and cybersecurity requirements, and limitations on certain business models or partnership structures. These measures may materially impact the Company's ability to originate loans, maintain relationships with funding partners, price its services competitively, or sustain historical revenue and profitability levels.

Furthermore, the timing, scope, and enforcement intensity of regulatory changes in the PRC are often uncertain and may vary across regions and over time. Such uncertainty may result in increased compliance costs, operational constraints, and strategic adjustments, and may also affect funding partner behavior, borrower demand, and overall industry liquidity.

In addition, shifts in regulatory policy and market expectations may adversely affect investor sentiment and capital market conditions for the industry, potentially resulting in reduced loan facilitation volumes, increased volatility in financial performance, and pressure on margins.

Actual results may differ materially from those expressed or implied in forward-looking statements due to a variety of factors, including, but not limited to, unexpected changes in regulatory policies or enforcement practices, macroeconomic conditions, borrower credit behavior, funding partner participation, competitive dynamics, and other risks described in the Company's filings with the U.S. Securities and Exchange Commission.

All forward-looking statements speak only as of the date of this press release. The Company undertakes no, and expressly disclaims any, obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required under applicable law.

SOURCE Yiren Digital Ltd.