Huaren Pharmaceutical Co., Ltd. announced a subscription agreement of not more than 354,663,894 A shares for a gross proceeds of not more than CNY 1,339,851,000 on March 23, 2023. The transaction will include participation from no more than 35 investors including returning investor, Xi'an Qujiang Tianshou Great Health Investment Partnership Enterprise ( Limited Partnership) for not less than 20% of the actual number of A shares and individual investor, Ruan Chuanming for not less than CNY 160 million proceeds. The company shall issue shares at a price not less than 80% of the average price in the 20 trading days before the pricing reference date.

The shares subscribed to Xi'an Qujiang Tianshou Great Health Investment Partnership Enterprise ( Limited Partnership) cannot be transferred within 18 months from the date of completion of the issuance. The shares subscribed by other investors cannot be transferred within 6 months from the completion of issuance. The transaction has been approved at the twentieth meeting of the seventh board of directors and the eleventh meeting of the seventh board of supervisors.

The transaction is still subject to approval from state-owned assets supervision and management department, shareholders, Shenzhen Stock Exchange and the China Securities Regulatory Commission.