On June 7, 2023, Suzhou Shihua New Material Technology Co., Ltd. closed the transaction. The company has issued 21,558,872 A shares at an issue price of CNY 18.09 per share for gross proceeds of CNY 389,999,994.48 in the transaction. The transaction included participation from new investors, Jiangxi Ganjiang New District Financial Investment Times Bole Qichen Equity Investment Center (L.P) for CNY 29,999,985.66, Qingdao Caitong Huifu Equity Investment Fund Center (Limited Partnership) for CNY 29,999,985.66, Anxin Securities Asset Management Co., Ltd.-Anxin Asset Management Dingzhenbao No.

7 Collective Plan, a fund managed by Anxin Securities Asset Management Co., Ltd. for CNY 24,999,982.02, Donghai Funds Management Co., Ltd. for CNY 14,999,992.83, Chongqing Muqiao Equity Investment Fund Partnership (Limited Partnership) for CNY 19,999,996.47, Caitong Fund Management Co., Ltd. for CNY 20,999,993.58, Huashi Haorui (Beijing) Private Fund Management Co., Ltd., for CNY 39,999,992.94, Nuode Asset Management Co., Ltd. for CNY 54,000,079.11, and new individual investor, Gu Zhengqing for CNY 154,999,986.21. After deducting the issuance expenses of CNY 7,428,795.84 (value-added tax), the company’s net funds raised at CNY 382,571,198.64 of which CNY 21,558,872 included in the registered capital (share capital) and included in the capital reserve It is CNY 361,012,326.64, and the cumulative registered capital after the change is CNY 262,631,312 in the transaction.