Huayi Brothers Media Corporation announced a private placement of not more than 823,741,004 A shares for gross proceeds of not more than CNY 2,290,000,000 on April 28, 2020. The company will issue shares at a price not lower than 80% of the median market price of the company's shares. The transaction will include participation from Zhejiang Dongyang Alibaba Pictures Co., Ltd., Sunshine Life Insurance Corporation Limited, Xiangshan Dacheng Tianxia Culture Development Co., Ltd., Shanghai Yuyuan Tourist Mart (Group) Co., Ltd., Shenzhen Tencent Computer Systems Company Limited, Beijing Minghe Investment Group Co., Ltd., Xintai Life Insurance Co., Ltd., Ningbo Sanli Jingkong Industrial Co., Ltd., and Shandong Jingda Technological Industry Development Co., Ltd. All securities to be issued in the transaction will be subject to a lock-up period of 18 months from the issuance date.

The transaction has been approved in the 41st meeting of the fourth board of directors of the company, and is still subject to approval by the company's general meeting of shareholders and relevant approval authorities.