A group of individual investors reached an agreement to acquire 85% stake in Zhejiang Jinka Power Technology Co., Ltd. from Hangzhou Xili Intelligent Technology Co.,Ltd (SHSE:688616) for CNY 28.3 million on July 7, 2023. Under the terms, the buyers will pay CNY CNY 21,280,000.00 for the share transfer and CNY 6,967,859.62 for the undistributed profits. The consideration will be paid as CNY 3 million within 5 days from strategy committee?s approval date, CNY 11.28 million within 5 days from the agreement effective date, and after completion of the transfer, the Buyers will pay CNY 4 million, CNY 3million, and CNY 3 million, before December 31, 2023, June 30, 2024, and December 31, 2024, respectively.

As of March 31, 2023, Zhejiang Jinka Power Technology reported Total Assets of CNY 25.5207 million and Net Assets of CNY 18.9053 million. The transaction has been approved in the 2nd Meeting of the Company?s 3rd Directorate Strategy Committee and the 6th Meeting of the Company?s 3rd Directorate held on July 7 and August 4, 2023, respectively, and does not need the Shareholders? Approval.