Hunan Sokan New Materials Co., Ltd. announced a private placement of Class A common shares to be issued for gross proceeds of not more than CNY 50,000,000 by issuing not more than 30% of present total share capital on March 8, 2022. The transaction will include participation from not more than 35 designated investors. The shares will be priced at not less than 80% of the average price in the 20 trading days before the pricing reference date.

The shares cannot be transferred within 6 months from the issuance closing date.