Aofu Environmental Technology Co., Ltd. announced a private placement to issue ordinary A shares with a par value of CNY 1 per share for gross proceeds of not exceeding CNY 300,000,000 on February 24, 2022. The proceeds shall not exceed 20% of the net assets at the end of the most recent year. The number of shares to be issued shall be determined by dividing the total amount of funds raised by the issuance price, and shall not exceed 30% of the total share capital of the company before the issuance.

The issue price is not lower than 80% of the average stock trading price in the 20 trading days prior to the pricing benchmark date. The shares subscribed by the issuer shall not be transferred within 6 months from the end of the issue. The transaction is approved at the ninth meeting of the third board of directors and is subject to company's general meeting of shareholders for deliberation.