Sichuan Xinzhi Thermal Control Technology Co., Ltd. announced a private placement of common shares at a price of CNY 1.021 per share for gross proceeds of CNY 10,210,000 on June 13, 2022. The transaction will include participation from returning investor Mianyang Fulin Precision Co.,Ltd. for CNY 1,000,000, An Zhifu for CNY 3,000,000, Mianyang Xinkong Enterprise Management Partnership Enterprise (Limited Partnership) (Xinzhi Thermal's ESOP) for CNY 1,500,000, Mianyang Xinheng Enterprise Management Partnership Enterprise (Limited Partnership) (Xinzhi Thermal's ESOP) for CNY 1,500,000, Yang Yu for CNY 1,200,000, Wang Jun for CNY 900,000, Xiang Minglang for CNY 900,000. Post closing, the registered capital will increase from CNY 20,000,000 to CNY 30,000,000.

The transaction has been approved at the 22nd session of 4th directorate and the 17th session of 4th supervisory board of Mianyang Fulin Precision Co.,Ltd.