Huarui Electrical Appliance Co.,Ltd. announced that it has entered into the share subscription agreement for a private placement of not more than 14,705,000 shares at an issue price of CNY 6.80 per share for gross proceeds of not more than CNY 100,000,000 on January 26, 2021. The transaction will involve participation from returning investor Wuzhou Dongtai State Asset Management Co., Ltd. The transaction has been approved at 14th meeting of the 3rd directorate and the 10th meeting of the 3rd supervisory board. The shares to be issued in the transaction will have a hold period of 36 months, post the closing.

The transaction is still subject to approvals of the State-owned Assets Supervision and Administration Agency, the company's Shareholders, the Shenzhen Stock Exchange, and the China Securities Regulatory Commission.