Wuhan Hiteck Biological Pharma Co., Ltd. announced a private placement of not more than 31,006,512 shares for gross proceeds of not more than CNY 975,227,000 on July 14, 2020. The issuance price for shares will not be lower than 80% of the median market price of the company's shares as of 20 previous days to issuance date. The transaction will include participation from not more than 35 investors including Chen Ya.

The company has signed a subscription agreement with Chen Ya. The shares issued to Chen Ya are subject to restriction period of 18 months and shares issued to other investors are subject to restriction period of 6 months. The transaction has been approved at the 12th meeting of the 7th board of directors, is subject to approval from shareholders of the company in its 1st extraordinary general meeting to be held on July 30, 2020, Shenzhen Stock Exchange, and China Securities Regulatory Commission.