Jinyu Bio-technology Co., Ltd. announced private placement of not less than 72,376,358 not more than 96,501,809 A shares, at an issue price of CNY 8.29 per share, for gross proceeds of no more than CNY 800,000,000 on February 7, 2023. The transaction included participation from returning investor Inner Mongolia Jinyu Biological Holdings Co., Ltd. for not less than 54,282,268 shares and not more than 72,376,357 shares, for proceeds of not less than CNY 450,000,000 and not more than CNY 600,000,000, and chairman of the company, Zhang Chongyu, vice chairman and president Zhang Jing for not less than 9,047,045 shares and not more than 12,062,726 shares, for proceeds of not less than CNY 75,000,000 and not more than CNY 100,000,000. The company has singed conditional share subscription agreement with investors.

The issue price of stocks is not lower than 80% of the company's stock trading average price in the 20 trading days before the pricing base date. The number of shares to be issued shall not exceed 30% of the company's total share capital before this issuance. The transaction has been deliberated and approved at the fifth meeting of the eleventh board of directors and fourth meeting of the eleventh board of supervisors of the company and needs to be reviewed and approved by the company's general meeting of shareholders and approved by the China Securities Regulatory Commission.

The securities to be issued in the transaction will be subject to a 18 month hold period from date of issuance.