Shu Mingliang signed a Share Transfer Agreement to acquire additional 5% stake in Jiangsu Hongda Electric Co., Ltd. from CSG Smart Science&Technology Co.,Ltd. (SZSE:300222) for CNY 17.5 million on April 21, 2023. Under the terms, within 10 working days after the agreement signing, Shu Mingliang will make a one-time payment. CSG Smart's holding will decrease from 51% to 46%, and Shu Mingliang's will increase from 33% to 38%.

For the year ended December 31, 2022, Jiangsu Hongda reported Total Assets of CNY 415.75 million, Net Assets of CNY 247.03 million, Revenue of CNY 208.83 million, Operating Profit of CNY 21.33 million and Net profit of CNY 18.14 million. The transaction is approved by the board of Jiangsu Hongda Electric and does not need the Shareholders' Approval.