Astro-Century Education & Technology Co., Ltd. announced a private placement of not more than 54,609,750 A shares for gross proceeds of CNY 461,921,400 on November 23, 2020. The transaction will include participation from not more than 35 investors, including existing investor Beijing King & Key Education Investment Co., Ltd. for not more than CNY 175,000,000. The pricing base date for this issuance of stocks to specific targets is the first day of the issuance period.

The issue price shall not be lower than 80% of the average price of the company's stock trading on the 20 trading days prior to the pricing base date and shall not be lower than the par value of the stock. The average stock trading price of the 20 trading days before the pricing base day is equal to the total stock trading volume of the 20 trading days before the pricing base date divided by the total stock trading volume of the 20 trading days before the pricing base date. The number of shares does not exceed 30% of the company's total share capital before the issuance.

The shares subscribed by Beijing King & Key Education Investment Co., Ltd. will have a hold period of 36 months and for other subscribers will be 6 months. The transaction is subject to the approval of shareholders of the company at its 2nd extraordinary general meeting to be held on December 9, 2020, the Shenzhen Stock Exchange, and the China Securities Regulatory Commission. The transaction has been approved by the fourth meeting of the company's third board of directors.