Highbroad Advanced Material (Hefei) Co., Ltd. announced private placement of not more than 37,287,000 shares at an issue price of not be lower than 80% of the average trading price of the company's shares in the 20 trading days prior to the pricing reference date for gross proceeds of not more than CNY 1,214,000,000 on August 29, 2022. The transaction will include participation from not more than 35 legal persons, natural persons or other legal investment organizations that meet the conditions stipulated by the China Securities Regulatory Commission. The transaction has been reviewed and approved by the 18th meeting of the third board of directors of the company and is subject to reviewed and approved by the company's general meeting of shareholders, approved by the Shenzhen Stock Exchange and approved by the China Securities Regulatory Commission.

The shares issuance under the transaction shall not be transferred within six months from the date of the end of the issuance.