Suzhou Shentong New Material Co., Ltd. announced that it has entered into an investment agreement and will receive CNY 20,000,000 in an equity round of funding on May 7, 2021. The transaction will include participation from retuning investor Jiangsu Yawei Machine Tool Co., Ltd. for CNY 10,000,000, of which CNY 333,333 will be added as registered capital, the remaining CNY 9,666,667 will be added as capital reserve and new investor Zhongxin Suzhou Industrial Park Zone Venture Capital Investment Co., Ltd. a fund managed by Suzhou Oriza Holdings Co., Ltd., for CNY 10,000,000, of which CNY 333,333 will be added as registered capital, CNY 9,666,667 will be added as capital reserve. Post the transaction the registered capital will increase from CNY 5,000,000 to CNY 5,666,666.

Pursuant to the transaction Jiangsu Yawei Machine Tool Co., Ltd.'s stake in the company will increase from 18% to 21.76% and Zhongxin Suzhou Industrial Park Zone Venture Capital Investment Co., Ltd. will hold 5.88% stake.