Infotmic Co.,Ltd (SZSE:000670) agreed to acquire an 49% stake in Shenzhen Huaxinke Technology Co., Ltd. and World Style Technology Holdings Limited from Shaoxing Shangyu Yuxin Equity Investment Partnership Enterprise (Limited Partnership) and Shanghai Ruichen Communication Equipment Partnership Enterprise (Limited Partnership) on November 22, 2023. Infotmic will acquire 39% stake in Huaxinke and 39% stake in World Style Technology from Yuxin Investment by way of issuance of shares and payment of cash and 10% stake in Huaxinke and 10% stake in World Style Technology from Shanghai Ruichen by way of Issuance of shares. In related transaction, Infotmic will issue ordinary shares (A shares) in private placement, which will be used to pay the cash consideration of the target assets, pay taxes and intermediary fees related to this transaction, and replenish working capital.

This transaction has been reviewed and approved by Infotmic at12th board of directors held on November 22, 2023. The general meeting of shareholders of the listed company will review and approve the formal plan for this transaction and Obtain approval from the Shenzhen Stock Exchange, approval from the China Securities Regulatory Commission for registration, and after the audit and evaluation related to this transaction are completed and the transaction price of the underlying assets is determined, the listed company needs to convene the board of directors again to review and approve the formal plan for this transaction.