Shenzhen Ecobeauty Co., Ltd. announced that it has entered into share subscription agreement with existing investor Jia Yuan Chuangsheng Holding Group Co., Ltd. for private placement of not more than 245,859,872 A shares at a price of CNY 3.14 per share for gross proceeds of not more than CNY 772,000,000 on December 31, 2020. The investor currently holds 14.57% stake in the company. The shares cannot be transferred within 36 months from the issuance.

The transaction has been approved by the 26th meeting of the 10th directorate and 11th meeting of the 10th supervisory board of the company. The transaction is subject to the approvals of the company's shareholders in its 1st extraordinary general meeting of 2021 to be held on January 19, 2021, and the China Securities Regulatory Commission.