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Independent Financial Advisor's Report on Dongguan Mingpu Optoelectronics' 2026 Stock Option and Restricted Stock Incentive Plan (Draft)

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This report by Beijing Bestar Securities Investment Consulting Co., Ltd. provides an independent financial advisor's opinion on Dongguan Mingpu Optoelectronics' 2026 stock option and restricted stock incentive plan. It assesses the plan's feasibility, pricing, accounting treatment, and impact on the company and shareholders, concluding it is legal, feasible, and does not harm shareholder interests.

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Full Translation

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Independent Financial Advisor's Report

Definitions

In this report, unless the context otherwise requires, the following terms have the meanings set forth below:

TermDefinition
Mingpu Optoelectronics, the CompanyDongguan Mingpu Optoelectronics Co., Ltd.
This Plan, This Incentive PlanDongguan Mingpu Optoelectronics Co., Ltd. 2026 Stock Option and Restricted Stock Incentive Plan
Stock OptionThe right granted by the Company to an incentive recipient to purchase a certain number of Company shares at a predetermined price and conditions within a future period.
Restricted StockCompany shares granted by the Company to an incentive recipient at a predetermined price and conditions, subject to a lock-up period, which can be released and traded upon satisfaction of release conditions.
Incentive RecipientPersonnel intending to participate in this Incentive Plan.
Validity PeriodFrom the date of registration of the grant of stock options/restricted stock to the date when all granted stock options/restricted stock are exercised or cancelled/all restricted stock is released or repurchased and cancelled.
Grant DateThe date on which the Company grants stock options/restricted stock to the incentive recipient. The Grant Date must be a trading day.
Waiting PeriodThe period from the date of grant registration of stock options to the date when stock options can be exercised.
ExerciseThe act of an incentive recipient purchasing Company shares according to the conditions specified in this Incentive Plan.
Exercise DateThe date on which an incentive recipient can begin exercising their options. The Exercise Date must be a trading day.
Exercise PriceThe price at which an incentive recipient exercises a stock option to purchase Company shares.
Exercise ConditionsThe predetermined conditions that must be met by an incentive recipient for exercising their granted stock options.
Lock-up PeriodThe period during which the restricted stock held by the incentive recipient cannot be transferred, used as collateral, or repaid as debt because the conditions for lifting the restrictions have not yet been met.
Grant PriceThe price per share at which the Company grants restricted stock to the incentive recipient.
Release PeriodThe period after the conditions for lifting restrictions on restricted stock stipulated in this Incentive Plan are met, during which the restricted stock held by the incentive recipient can be released and traded.
Release ConditionsThe conditions that must be met by an incentive recipient for the release of their granted restricted stock.
"Company Law""The Company Law of the People's Republic of China"
"Securities Law""The Securities Law of the People's Republic of China"
"Management Measures""Management Measures for Equity Incentives of Listed Companies"
"Self-Regulatory Guidelines No. 1""Shenzhen Stock Exchange Listed Company Self-Regulatory Guidelines No. 1 - Business Handling"
"Articles of Association""Articles of Association of Dongguan Mingpu Optoelectronics Co., Ltd."
China Securities Regulatory Commission (CSRC)China Securities Regulatory Commission
Stock ExchangeShenzhen Stock Exchange
This Independent Financial Advisor, Bestar SecuritiesBeijing Bestar Securities Investment Consulting Co., Ltd.
RMB, Ten Thousand Yuan, Hundred Million YuanRMB, Ten Thousand Yuan, Hundred Million Yuan

Statement

Bestar Securities was entrusted by Mingpu Optoelectronics to serve as the independent financial advisor for the 2026 Stock Option and Restricted Stock Incentive Plan and to issue this report. In issuing this report, this independent financial advisor hereby makes the following statement:

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