Nanjing Sample Technology : SUPPLEMENTAL ANNOUNCEMENT IN RELATION TO DISCLOSEABLE TRANSACTION ACQUISITION OF 52% EQUITY INTERESTS IN NANJING DONGBANG EQUIPMENT CO., LTD.

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(a joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code: 1708)

SUPPLEMENTAL ANNOUNCEMENT

IN RELATION TO DISCLOSEABLE TRANSACTION

ACQUISITION OF 52% EQUITY INTERESTS IN

NANJING DONGBANG EQUIPMENT CO., LTD.*

Reference is made to the announcement of Nanjing Sample Technology Co., Ltd.* (the "Company") dated 18 September 2019 (the "Announcement") in relation to the acquisition of 52% equity interests in Nanjing Dongbang Equipment Co. Ltd.. Terms used herein shall have the same meanings as defined in the Announcement unless otherwise stated.

The Board wishes to provide the Shareholders and potential investors of the Company with additional information in relation to the Acquisition of Nanjing Dongbang as follows:

FURTHER INFORMATION ABOUT THE SELLERS

As of the date of the Announcement, the ultimate beneficial owners of Qiushan Machinery were Zhang Hongmei ( 張紅梅), Feng Jiahe ( 馮嘉禾), Yang Zhonghui ( 楊仲會) and Shao Yong ( 邵勇) and the ultimate beneficial owners of Shanghai Yanchuang were Song Pengjun ( 宋鵬軍), Li Yan ( 李妍), Wang Jun ( 王俊) and Gao Lan ( 高嵐). To the best of the Directors' knowledge, information and belief and having made all reasonable enquiries, each of the ultimate beneficial owners is an Independent Third Party.

FURTHER INFORMATION ABOUT NANJING DONGBANG AND XUZHOU GUANGHONG

Nanjing Dongbang has invested in a PPP project fund for Xuyi Port Industrial Park which is mainly related to the road and port construction. It is expected that, through this investment, the Company may indirectly obtain some technical services, electromechanical installation business related to the project. Besides, Xuzhou Guanghong has a PPP Project which is mainly involved the construction of intelligent utility tunnel for Chengdong Avenue of Xuzhou City. As both projects are the key PPP projects in the intelligent city sector in the North Jiangsu region which is the market that the Group is keen on

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its expansion. Hence, the Directors considered that the principle business of the Nanjing Dongbang is relevant to the Company's business and the Acquisition of Nanjing Dongbang would enhance the Company's comprehensive strength in the intelligent city business as well as additional income will be indirectly generated from that business.

By order of the Board

Nanjing Sample Technology Company Limited*

Sha Min

Chairman

Nanjing, the PRC, 10 October 2019

As at the date of this announcement, the executive Directors are Mr. Sha Min (Chairman), Mr. Zhu Xiang, Ms. Yu Hui, the non-executive Director is Mr. Chang Yong; and the independent non-executive Directors are Mr. Gao Lihui, Mr. Hu Hanhui and Mr. Niu Zhongjie.

• for identification purpose only

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