Zhongtai Securities Co., Ltd. announced a private placement of not more than 2,090,587,726 A shares for gross proceeds not more than CNY 6,000,000,000 on June 30, 2023. The transaction will include participation from not more than 35 investors. Before completion, existing investor Zaozhuang Mining Industry (Group) Co., Ltd. subscribed for not more than CNY 2,166,000,000.

Post completion, Zaozhuang Mining Industry (Group) Co., Ltd. will holds 2,273,346,197 shares for 32.62% stake. The issue price will not less than 80% of the average price in the 20 trading days before the pricing reference date of the transaction. The parties signed share subscription agreement.

The shares cannot be transferred within 60 months from the issuance closing date and the shares 5%+ investors subscribe to cannot be transferred within 36 months from the issuance closing date. The shares cannot be transferred within six months from the issuance closing date. The transaction has been approved in the 69th Meeting of the Company?s 2nd Directorate and is still subject to the approvals of the Company?s Shareholders, the state-owned assets supervision and management institutions or authorized state-funded enterprises, the Shanghai Stock Exchange, and the China Securities Regulatory Commission.

The transaction has been approved in 26th meeting of the 2nd supervisory board.