Xinjiang Xuefeng Sci-Tech (Group) Co.,Ltd announced a private placement of common shares for gross proceeds of up to CNY 900,000,000 on January 17, 2022. The transaction will include participation from not more than 35 investors. The company will issue shares not more than 30% of total share capital priced at not less than 80% of the average price in the 20 trading days before the pricing reference date in the transaction.

The shares cannot be transferred within 6 months from the issuance closing date. The transaction has been approved by the 35th meeting of the company's 3rd directorate and the 31st meeting of the company's 3rd supervisory board; Xinjiang Agriculture and Animal Husbandry Investment (Group) Co., Ltd.'s party committee's and directorate's meetings; and the state-owned Assets Supervision and Administration Commission of Xinjiang Uygur Autonomous Region of China (Xinjiang SASAC) pre-approval. The transaction is subject to approval from the second approval of the company's directorate after the M&A target assets' audit and assessment work are completed; Xinjiang SASAC's filing and approval of the target assets' assessment reports; Xinjiang SASAC's official approval; the company's shareholders' approval; the CSRC's approval; and other necessary approvals.