Zhejiang Busen Garments Co., Ltd. announced that it has entered into a share subscription agreement with Shaanxi Huaxia Xianhe Enterprise Development Co., Ltd for private placement of not more than 43,203,000 A shares at a price of CNY 6.29 per share for gross proceeds of not more than CNY 271,746,870 on August 18, 2021. The investor will hold 23.08% stake in the company. The shares are subject to a hold period of 36 months. The transaction has been approved at the twelfth meeting of the sixth board of directors of the company and sixth meeting of the sixth board of supervisors and is subject to its shareholder's approval and China Securities Regulatory Commission. On August 18, 2021, the company announced it has signed voting rights entrustment agreement with Wang Chunjiang irrevocably entrusted the corresponding voting rights of the 60% shares of the company.