Shenzhen Outop Electronics Co., Ltd.
Announcement on the Cancellation of Part of the 2023 Stock Option Incentive Plan Stock Options
The Company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or major omissions.
Shenzhen Outop Electronics Co., Ltd. (hereinafter referred to as the "Company") held the Ninth Meeting of the Sixth Board of Directors on August 7, 2026, and reviewed and approved the "Proposal on Canceling Part of the Stock Options of the 2023 Stock Option Incentive Plan." The relevant matters are hereby explained as follows:
I. Decision-Making Procedures and Information Disclosure for the Incentive Plan
(I) On August 4, 2023, the Fourteenth Meeting of the Fifth Board of Directors and the Thirteenth Meeting of the Fifth Supervisory Board of the Company reviewed and approved the "Proposal on the '2023 Stock Option Incentive Plan (Draft)' and its Summary" and the "Proposal on the '2023 Stock Option Incentive Plan Implementation and Assessment Management Measures'," among other related proposals. The independent directors of the Company issued clear and affirmative independent opinions on the above-mentioned proposals, and the law firm issued a corresponding legal opinion. For details, please refer to the relevant announcements disclosed by the Company on CNINFO (http://www.cninfo.com.cn) on August 5, 2023.
(II) The Company internally publicized and verified the names and positions of the incentive recipients under this incentive plan. The publicity period was from August 7, 2023, to August 16, 2023. As of August 16, 2023, the Company's Supervisory Board had not received any questions from employees regarding the proposed incentive recipients. For details, please refer to the "Explanation and Verification Opinion on the List of Initial Grantees of Stock Options under the 2023 Stock Option Incentive Plan" (Announcement No.: 2023-038) disclosed by the Company on CNINFO (http://www.cninfo.com.cn) on August 17, 2023.
(III) On August 22, 2023, the Company held its Second Extraordinary General Meeting of Shareholders in 2023, which reviewed and approved the "Proposal on the '2023 Stock Option Incentive Plan (Draft)' and its Summary" and the "Proposal on the '2023 Stock Option Incentive Plan Implementation and Assessment Management Measures'," among other related proposals. On August 23, 2023, the Company disclosed the "Self-Inspection Report on Insider Trading of Company Shares by Incentive Recipients and Insiders of the 2023 Stock Option Incentive Plan." For details, please refer to the relevant announcements disclosed by the Company on CNINFO (http://www.cninfo.com.cn) on August 23, 2023.
(IV) On August 28, 2023, the Company held the Fifteenth Meeting of the Fifth Board of Directors and the Fourteenth Meeting of the Fifth Supervisory Board, and reviewed and approved the "Proposal on the Initial Grant of Stock Options to Incentive Recipients under the 2023 Stock Option Incentive Plan." The independent directors of the Company issued clear and affirmative independent opinions on this matter, and the law firm issued a corresponding legal opinion. For details, please refer to the relevant announcements disclosed by the Company on CNINFO (http://www.cninfo.com.cn) on August 29, 2023.
(V) On September 18, 2023, the Company completed the registration of the initial grant of stock options under the 2023 Stock Option Incentive Plan at China Securities Depository and Clearing Corporation Limited Shenzhen Branch. The option name is "Aotuo JLC3" and the option code is "037384." For details, please refer to the "Announcement on the Completion of Registration for the Initial Grant of Stock Options to Incentive Recipients under the 2023 Stock Option Incentive Plan" (Announcement No.: 2023-045) disclosed by the Company on CNINFO (http://www.cninfo.com.cn) on September 19, 2023.