Jiangsu General Science Technology Co., Ltd. announced a private placement of not more than 322,439,000 A shares for gross proceeds of not more than CNY 1,028,000,000 on May 21, 2022. The transaction will include participation from not more than 35 investors including Hongdou Group Co., Ltd. who will subscribe for CNY 30,000,000 to CNY 200,000,000. The transaction has been approved at the 31st meeting of the 5th supervisory board, and 36th meeting of the company's 5th directorate, and is subject to the approvals of the company's shareholders and the China Securities Regulatory Commission.

The company entered into a share subscription agreement with the investors. The shares that will be subscribed by Hongdou Group Co., Ltd. cannot be transferred within 18 months from the issuance closing date, and the shares the other investors subscribe to cannot be transferred within 6 months from the issuance closing date.