Zhejiang Shengyang Science and Technology Co., Ltd. announced a private placement of A shares with a par value of CNY 1 per share on November 12, 2021. The transaction included participation from not more than 35 specific investors. The number of shares to be issued in this transaction does not exceed 30% of the total share capital of the company before this transaction. The total amount of funds raised in this transaction does not exceed 100% of the transaction price for the purchase of assets by issuing shares in this transaction. The pricing base date of this offering is the first day of the issue period, and the issue price is not less than 80% of the average price of the company's stocks 20 trading days before the first day of the issue period. The shares are subjected to 6 months hold period. The transaction was approved by the board of directors in its eighteenth meeting of the fourth board of directors. The transaction is subjected to approval of shares holders, China Securities Regulatory Commission, and higher-level state-owned assets supervision and management agency needs.