Hubei Yihua New Material Technology Co., Ltd. announced a private placement of common shares for gross proceeds of CNY 100,000,000 on December 25, 2023. The transaction will include participation from returning investors Hubei Yihua Chemical Industry Co., Ltd. for CNY 66,666,700 and Hubei Yihua Group Co., Ltd. for CNY 33,333,300. Post the closing, Hubei Yihua Chemical Industry Co., Ltd. and Hubei Yihua Group Co., Ltd. will maintain 66.67% stake and 33.33% stake in the company respectively and the registered capital of the company will increase from CNY 120,000,000 to CNY 220,000,000.

The transaction was approved in the 29th meeting of the 10th board of directors, and 10th during its 19th meeting of Hubei Yihua Chemical Industry Co., Ltd.