Shenzhen Clou Electronics Co., Ltd. announced that it has entered into a security purchase agreement for the issuance of minimum 394,337,761 A Shares and maximum of not more than 422,504,744 A Shares at a price of CNY 3.28 per share for gross proceeds of minimum CNY 1,293,427,856.08 and maximum of not more than CNY 1,385,815,600 on May 23, 2022. The transaction will include participation from Midea Group Co., Ltd. The transaction has been approved by the board of directors in the sixteenth meeting of the eighth directorate, tenth extraordinary meeting of the eighth supervisory board and subject to approval from the State-owned Assets Supervision and Administration, and the China Securities Regulatory Commission. All the securities issued under the transaction cannot be transferred within 18 months from the issuance closing date.