Jiaxing Rongsheng Packaging Materials Co., Ltd. announced a private placement of common shares for gross proceeds of CNY 40,000,000 on April 22, 2022. The transaction will involve participation from existing investor, Zhejiang Rongsheng Environmental Protection Paper Joint Stock Co., Ltd. The investor will retain its 100% stake in the company. Post the closing, the registered capital of the company will increase from CNY 28,000,000 to CNY 50,000,000.

The transaction has been approved by the ninth meeting of the seventh board of directors of the investor and the 2021 annual general meeting of shareholders of the investor.