Jiangsu Eastern Shenghong Co., Ltd. announced a private placement of A common shares for gross proceeds of CNY 4,088,727,300 on May 12, 2021. The transaction will include participation from not more than 35 specific investors. The issuance price will be not lower than 80% of the average price of the company's shares as of 20 trading days since issuance date.

The company will issue not more than 30% of the total share capital prior to the transaction. The shares issues will have a hold period of 6 months from the date of closing. The transaction has been approved by the board of directors of the company at twenty-seventh meeting of the eighth directorate and is subject to shareholder and China Securities Regulatory Commission approvals.