On August 3, 2022, Xiamen Yanjan New Material Co., Ltd. closed the transaction. The company has issued 50,761,421 A shares at a price of CNY 7.88 per share for gross proceeds of CNY 399,999,997.48. The transaction included participation from China Asset Management Co., Ltd. for 3,807,106 shares, Caitong Fund Management Co., Ltd. for 12,309,644 shares, Platinum No.

29 Securities Investment Private Equity Fund, a fund managed by Shanghai Platinum Squire Investment Center (Limited Partnership) for 3,807,106 shares, Nuode Asset Management Co., Ltd. for 4,784,263 shares, Borui Oriental Value No. 8 Private Securities Investment Fund, a fund managed by Xiamen Borui Oriental Investment Management Co., Ltd. for 3,807,106 shares, Shanxi Tianxing Energy Industry Group Co.,Ltd. for 6,345,177 shares, Wei Yeli Zhantou No. 1 Private Securities Investment Fund, a fund managed by Ningbo Wei Yeli Private Equity Fund Management Co., Ltd. for 418,788 shares, also included individual investors Dong Weiguo for 3,807,106 shares, Liu Fujuan for 3,807,106 shares, Li Tianhong for 3,807,106 shares and Xie Kai for 4,060,913 shares.

The share capital was increased by CNY 50,761,421.00, and the excess of the share capital was increased by CNY 340,901,956.94 in capital reserve. The company has received CNY 391,663,377.94 in net amount of funds raised. The company has paid sponsorship and underwriting fees and other issuance fees, excluding VAT of CNY 8,238,679.21 and stamp duty of CNY 97,940.33 in the transaction.

All the securities issued in the transaction is subject to hold period of six months.