Dalian Morningstar Network Technology Co., Ltd. announced that it has entered into a subscription agreement for private placement of not more than 428,095,238 shares at an issue price of CNY 1.05 per share for gross proceeds of not more than CNY 449,500,000 on May 25, 2020. The transaction will involve participation from Shanghai Jucheng Enterprise Management (Group) Co., Ltd. The shares to be issued will not exceed 30% of the company's total share capital before the offering. The shares to be issued will have a hold period of 36 months, post the closing of the transaction.

The subscription agreement is with conditional effectiveness. The transaction is still subject to the company's shareholders meeting and China Securities Regulatory Commission.