China United Travel Co.,Ltd announced a placement of common shares at an issue price of CNY 5.65 per share on December 31, 2022. The transaction will include participation from Jiangxi Sunan Real Estate Co., Ltd and returning investor, Jiangxi Tourism Group Co., Ltd. and will not include participation from more than 35 investors. The amount of funds shall not exceed 100% of the consideration of this transaction.

The transaction has been approved by reviewed and approved by the 2nd extraordinary meeting of the board of directors of the listed company in 2023 and the 1st extraordinary meeting of the board of supervisors in 2023, general meeting of shareholders, the competent State-owned Assets Supervision and Administration Commission and the China Securities Regulatory Commission. The number of shares and volume needs to be approved by the China Securities Regulatory Commission. The shares have a lock-up period of 36 months from the date of completion of the issuance of such shares.

If within 6 months after the completion of this transaction, the closing price of the listed company's stock is lower than the share issuance price for 20 consecutive trading days (during this period, if the listed company has ex-rights and ex-dividend events such as dividend distribution, bonus shares, capitalization of capital reserves, allotment, etc., corresponding adjustments must be made in accordance with the relevant regulations of the China Securities Regulatory Commission and the Shanghai Stock Exchange), or if the closing price at the end of the 6-month period after the completion of this transaction is lower than the price of this share issuance, the lock-up period of the new shares held by counterparty due to this transaction will be automatically extended for 6 months.