Prospectus for Initial Public Offering of Shares

Overview of the Issuance

Type of Shares to be Issued

• RMB ordinary shares (A shares)

Number of Shares to be Issued

• The number of shares to be publicly issued will not exceed 21.21 million shares, accounting for no less than 25% of the total share capital after issuance; all shares issued will be new shares, with no existing shareholders selling shares publicly.

Par Value per Share

• RMB 1.00

Expected Issuance Price

• [To be determined]

Expected Issuance Date

• May 9, 2022

Planned Stock Exchange and Board for Listing

• Shenzhen Stock Exchange Main Board

Total Share Capital After Issuance

• Not exceeding 84.84 million shares

Lock-up Commitments by Shareholders

(1) Commitment by Controlling Shareholder and Actual Controller

• Wang Songfeng, the controlling shareholder, actual controller, chairman, and general manager, commits to:
  1. Not transferring or entrusting others to manage shares held directly or indirectly for 36 months post-listing (the "lock-up period").
  2. If the stock price closes below the IPO price for 20 consecutive trading days within 6 months post-listing, the lock-up period will automatically extend by 6 months.
  3. During his tenure, he will not transfer more than 25% of his shares annually, and will not transfer shares within 6 months after leaving the company.
  4. Shareholding changes will be reported in accordance with relevant laws and regulations.
  5. He will comply with regulations regarding share reductions by shareholders, directors, supervisors, and senior management.

(2) Commitment by Actual Controller's Spouse

• Zeng Lili, spouse of Wang Songfeng, commits to the same terms as above.

(3) Commitment by Shareholders Holding More Than 5%

• Commitments from shareholders such as Kangfeide and Mingruida include:
  1. Not transferring shares for 36 months post-listing.
  2. Similar price-related lock-up extensions as above.
  3. Compliance with relevant laws regarding shareholding changes.

(4) Commitment by Directors and Senior Management

• Directors and senior management, including Lan Shan, You Chang, and Zhou Yue, commit to:
  1. Not transferring shares for 12 months post-listing.
  2. Similar price-related lock-up extensions as above.
  3. Annual transfers not exceeding 25% of their holdings during their tenure.

(5) Commitment by Supervisors

• Chen Jing, a supervisor, commits to the same terms as above.

(6) Commitment by Other Shareholders

• Other shareholders commit to similar lock-up terms for 12 months post-listing.

Underwriter (Lead Underwriter)

• Zhongyuan Securities Co., Ltd.

Date of Signing the Prospectus

• April 26, 2022

Issuer's Declaration

• The issuer and all directors, supervisors, and senior management affirm that the prospectus and its summary do not contain false records, misleading statements, or significant omissions, and bear individual and joint legal responsibility for their authenticity, accuracy, and completeness. The responsible person for accounting guarantees the financial data's truthfulness and completeness. The underwriter commits to compensating investors for losses due to false records or misleading statements in the IPO documents.

Important Matters

• Investors are advised to read the full content of the prospectus carefully before making investment decisions, particularly regarding voluntary lock-up commitments and other significant matters.

Important Dates for Expected Issuance and Listing

Risk Factors

Investors should carefully consider the following risk factors when evaluating the public offering of the issuer's stock, in addition to other information provided in this prospectus. The following risk factors are listed in order of importance or potential impact on investment decisions, and this order does not imply that the risks will occur sequentially.