ZHEJIANG BOFAY ELECTRIC CO., LTD. 2025 Annual Stock Issuance Prospectus (Draft) via Simplified Procedure to Specific Targets

Zhejiang Bofay Electric Co., Ltd.
Prospectus

1. Statement
2. The company and all members of the board guarantee that the content of this prospectus is true, accurate, and complete, with no false records, misleading statements, or significant omissions, and bear individual and joint legal responsibility for any false records, misleading statements, or significant omissions in the prospectus.
3. This prospectus is prepared in accordance with the "Regulations on the Registration of Securities Issuance by Listed Companies" and "Guidelines No. 61 for Information Disclosure Content and Format for Companies Issuing Securities to Specific Targets."
4. After the completion of this simplified procedure for issuing stocks to specific targets, the changes in the company's operations and earnings will be the company's responsibility; the investment risks arising from this issuance will be borne by the investors.
5. This prospectus is the board's explanation regarding this simplified stock issuance to specific targets; any contrary statements are false representations.
6. Investors with any questions should consult their stock brokers, lawyers, professional accountants, or other professional advisors.
7. The matters described in this prospectus do not represent the substantive judgment, confirmation, approval, or registration consent of the approval authority regarding this simplified stock issuance to specific targets.

Major Matters Reminder

The company particularly reminds investors to pay attention to the following major matters or risk factors and to read the relevant sections of this prospectus carefully. The terms or abbreviations described in this section have the same meanings as those defined in the "Definitions" section of this prospectus.

1. The matters related to this simplified stock issuance to specific targets have been authorized by the company's 2023 annual general meeting and 2024 annual general meeting for the board to implement; the issuance plan and related matters have been approved by the 10th, 18th, and 19th meetings of the third board of directors. According to relevant laws and regulations, this issuance is subject to approval by the Shenzhen Stock Exchange and registration consent from the China Securities Regulatory Commission.
2. The issuance targets include Hangzhou Dongfang Jiafu Asset Management Co., Ltd. - Jiaxing Jiazhi Fuxing Equity Investment Partnership (Limited Partnership), Nord Fund Management Co., Ltd., Jiangxi Jintou Private Fund Management Co., Ltd. - Nanchang Ganjin Xin Private Equity Investment Fund (Limited Partnership), Link Jiang, Xingzheng Global Fund Management Co., Ltd., Shanghai Fangyu Investment Management Co., Ltd. - Fangyu Investment Tongjue No. 22 Private Securities Investment Fund, Hu'an Securities Asset Management Co., Ltd., Feng Jianfeng, Zhang Yimin, Zhang Wenfu, Donghai Fund Management Co., Ltd. All issuance targets will subscribe to the company's stocks at the same price in cash in RMB.
3. According to the bidding results of this issuance, the total amount of funds to be raised is 143 million RMB, and the net amount of funds raised after deducting related issuance expenses will be fully invested in the following project: