Shandong Zhongke New Material Technology Co., Ltd. announced a private placement of 50,000,000 common shares at an issue price of CNY 1 per share for gross proceeds of CNY 50,000,000 on January 20, 2022. The transaction will involve participation from Sichuan Dowell Science and Technology Inc. for CNY 39,000,000 and other investor/s for the remaining amount. Post-closing of the transaction, Sichuan Dowell Science and Technology Inc. will hold 26% stake in the company and other investor/s will hold 7.33% stake in the company.

The company has registered capital of CNY 100,000,000. The transaction has been approved by the board of directors of Sichuan Dowell Science and Technology Inc. at the 16th session of its 5th directorate.