Tangrenshen Group Co., Ltd announced that it has signed a share subscription agreement to issue a private placement of not more than 361,805,262 shares at a price of not less than 80% of the average price in the 20 trading days before the pricing reference date for gross proceeds of not more than CNY 1,220,000,000 on April 8, 2022. The transaction will include participation from not more than 35 investors including Hunan Tangrenshen Holding Investment Co., Ltd., who will subscribe for CNY 100,000,000 to CNY 150,000,000. The securities issued to Hunan Tangrenshen Holding Investment Co., Ltd. will be subject to a hold period of 18 months from the closing date securities issued to other investors will be subject to a hold period of 6 months from the closing date.

The transaction has been approved at the 49th Meeting of the company's 8th directorate, and is subject to shareholders approval and the China Securities Regulatory Commission's approval.