Hongbo Co., Ltd. announced a private placement of not more than 56,818,181 shares at a price of CNY 5.28 per share for gross proceeds of not more than CNY 299,999,995.68 on January 24, 2022. The transaction will include participation from Henan Lujie Electronic Technology Center (Limited Partnership). The company has signed a conditional share subscription agreement with the investor.

The shares issued are subject to lock-up period of 36 months. The transaction has been approved at the 30th meeting of 5th directorate of the company and is subject to approval from the shareholders and the China Securities Regulatory Commission.