HC SemiTek Corporation announced a private placement of not more than 372,070,935 A shares at an issue price of CNY 5.60 per share for the gross proceeds of not more than CNY 2,083,597,200 on November 4, 2022. The transaction will include participation from new investor BOE Technology Group Company Limited to acquire 23.08% stake in the company. The company has signed share subscription agreement with investor in the transaction.

The transaction has been approved in the 18th meeting of the company?s 5th directorate and 7th meeting of the 10th directorate of BOE Technology Group Co., Ltd., and is subject to approval from company?s shareholders, the state-owned assets supervision and administration, the Shenzhen Stock Exchange, China Securities Regulatory Commission, and other necessary administration approvals. The shares are restricted to a holding period of 18 months from the date of closing.