Beijing Dynamic Power Co.,LTD announced a private placement of not more than 165,982,634 A Shares for gross proceeds of not more than CNY 450,000,000 on August 9, 2022. The transaction will include participation from no more than 35 specific investors, including, other issuing objects that comply with relevant laws and regulations includes, securities investment fund management companies, securities companies, trust investment companies, finance companies, insurance institutional investors, qualified foreign institutional investors and those who can purchase Legal persons, natural persons or other investor. The company signed agreement with He Zhenya, the controlling shareholder to subscribe for not less than CNY 20 million and not more than CNY 100 million in the transaction.

The number of shares of to be issued shall not exceed 30% of the company's total share capital before the issuance. The issue price of this transaction of shares shall not be lower than the average stock trading price of the company in the 20 trading days before the pricing benchmark date. The final issue price will be determined by the company's board of directors and sponsors (lead underwriters) in accordance with relevant laws, regulations and the requirements of regulatory authorities after the company has obtained the approval of the China Securities Regulatory Commission and other securities regulatory authorities.

The transaction has been reviewed and approved at the 4th meeting of the 8th board of directors and is subject to approval from company's shareholders general meeting, and China Securities Regulatory Commission. The securities to be issued to Mr. He Zhenya in this transaction will be subject to a lock up period of 18 months, while securities to be issued to all other investors in this transaction will be subject to a lock up period of 6 months. The resolution on the non-public offering of shares is valid for 12 months from the date of deliberation and approval at the company's general meeting of shareholders.