On February 5, 2024, Dazheng Group Acquisition Limited announced that it has issued a statement reaffirming the merits of its offer to acquire Hollysys Automation Technologies Ltd. Dazheng Group, remains motivated to acquire the Company at US$29.50 per share, this offer represents a significantly greater value proposition for Company shareholders, providing an 11.3% premium to the Ascendant Capital offer. Dazheng Group emphasizes to Company shareholders its commitment to acquire the Company at US$29.50 per share will remain unchanged by fluctuations in the share price of the Company, market conditions, or if the proposed Ascendent transaction is rejected by shareholders at the upcoming Extraordinary General Meeting on February 8, 2024. In addition, Dazheng Group stated that independent Proxy Advisors, Institutional Shareholder Services and Glass Lewis have recently recommended shareholders to vote against the potential transaction with Ascendent Capital.

Further, Dazheng Group stated that the collective decision of shareholders to vote against the Ascendent transaction will not adversely affect the Company, instead, it will safeguard a valuable opportunity for every shareholder to achieve an exit at $29.50 per share, following the conversion of the Dazheng Group offer into a signed merger agreement, which is anticipated to be promptly approved by the shareholders.