Huafa Group plans to subscribe for 3 billion yuan worth of A-shares issued by Huafa Group to specific investors

Huafa Group announced that Huafa Group intends to subscribe for A-shares issued by Huafa Shares to specific targets in cash. The effectiveness and completion of this issuance of A-shares to specific targets are subject to approval by the state-owned assets supervision authority, approval by Huafa Shares’ shareholders’ meeting, review and approval by the Shanghai Stock Exchange, and registration approval by the China Securities Regulatory Commission. The purchaser’s subscription to A-shares issued to specific targets by Huafa Shares will result in the purchaser holding more than 30% of the company’s issued shares.