North Electro-Optic Co.,Ltd. announced that it has entered into share subscription agreement for a private placement and it will issue not more than 120,000,000 A shares for gross proceeds of not more than CNY 1,200,000,000 on December 15, 2023. The A shares have a face value of CNY 1 per share. The transaction will include participation from not more than 35 investors, including returning investors, North Electro-Optics Group Co., Ltd. for CNY 30,000,000, and North Industries Group Investment Management Co., Ltd. for CNY 150,000,000.

All the securities issued pursuant to the private placement is subject to a lock period of 18 months from the issuance closing date for North Electro-Optics Group Co., Ltd. and North Industries Group Investment Management Co., Ltd., and 6 months from the issuance closing date for other investors. The transaction has been approved by the board of directors of the company in the 6th meeting of the company?s 7th directorate and the 4th meeting of the 7th supervisory board and is subject to the approvals of the company?s shareholders, the competent state-owned assets supervision unit, the Shanghai Stock Exchange, and the China Securities Regulatory Commission.