Hangzhou EV-Tech Co., Ltd. announced that it intends to sign a capital increase agreement with new investor Hongda High-Tech Holding Co.,Ltd. (SZSE:002144) to issue 3,050,626 common shares at a price of CNY 13.112063 per share for gross proceeds of CNY 40,000,000 on October 15, 2020. Post completion of the transaction, the registered capital of the company will be CNY 76,265,646, and the investor will hold 4% stake in the company. Out of the total gross proceeds, CNY 3,050,626 will be added to the registered capital of the company, and CNY 36,949,374 will be included in the capital reserve. The transaction has been approved in the 6th meeting of 7th board of directors of the investor, and is not subject to the approval of its shareholders.