Jiangsu Hengli Hydraulic Co.,Ltd announced a private placement of non-public issuance of A shares of not more than 391,608,000 shares for gross proceeds of CNY 5,000,000,000 on August 31, 2021. The transaction will include participation from not more than 35 specific investors. The issuance price of this non-public issuance is determined through bidding, and the pricing base date is the first day of the issuance period of the non-public issuance. The issuance price of this non-public offering shall not be lower than 80% of the average trading price of the company’s stock in the 20 trading days before the pricing base day. The transaction is approved in the eighth meeting of the company's fourth board of directors and is subject to approvals in company's general meeting of shareholders and China Securities Regulatory Commission. After the completion of this non-public issuance of stocks, the stocks subscribed for this issuance by the issuance target shall not be transferred within 6 months from the date of the end of the issuance.