Announcement on Related Party Transactions Involving the Company's Issuance of Shares to Specific Objects

The company and all members of the board guarantee that the information disclosed is true, accurate, and complete, without false records, misleading statements, or significant omissions.

Special Risk Warning:

1. The issuance of shares to specific objects (hereinafter referred to as "this issuance") requires approval from the company's shareholders' meeting, review and approval from the Shenzhen Stock Exchange (hereinafter referred to as "SZSE"), and registration approval from the China Securities Regulatory Commission (hereinafter referred to as "CSRC"). There is uncertainty regarding whether these approvals can be obtained, and investors are advised to pay attention to investment risks.
2. The subscription target for this issuance is the company's controlling shareholder, Shanghai Zhinen Industrial Electronics Co., Ltd. (hereinafter referred to as "Zhinen Industrial"), which constitutes a related party transaction according to the "Rules for the Listing of Stocks on the Growth Enterprise Market of the Shenzhen Stock Exchange."
3. This related party transaction will not result in a change of the controlling shareholder or actual controller of the company, nor will it affect the company's compliance with listing conditions regarding share distribution.

Overview of Related Party Transactions

On April 3, 2026, the company held the seventh meeting of the sixth board of directors, which approved the proposal for the issuance of A-shares to specific objects in 2026. Zhinen Industrial will subscribe to the shares in cash, raising a total of no more than RMB 100 million (including this amount). The net proceeds, after deducting related expenses, will primarily be used for the "R&D and industrialization of high-end industrial-grade (including automotive) analog and mixed-signal chips" and "R&D and industrialization of high-end industrial-grade (including automotive) main control SoCs (including intelligent systems)" as well as to supplement working capital. The number of shares to be issued will be determined by dividing the total amount raised by the issuance price of RMB 20.24 per share, with Zhinen Industrial subscribing for no more than 49,407,114 shares, which does not exceed 30% of the total share capital before this issuance. According to the relevant regulations, the subscription by the controlling shareholder Zhinen Industrial constitutes a related party transaction but does not constitute a major asset restructuring.

Basic Information of Related Parties

Zhinen Industrial is a high-end intelligent industrial electronics platform enterprise group established through market mechanisms in China, primarily focusing on the industrial and automotive chip sectors.

• Company Name: Shanghai Zhinen Industrial Electronics Co., Ltd.
• Company Type: Limited Liability Company (Foreign Investment, Non-Wholly Owned)
• Registered Address: 5th Floor, No. 1192 Yangshupu Road, Yangpu District, Shanghai
• Legal Representative: Li Xiaozhong
• Registered Capital: RMB 244,641.80 million
• Establishment Date: December 14, 2020
• Business Duration: December 14, 2020, to indefinite
• Unified Social Credit Code: 91310110MA1G99E65Y
• Business Scope: General projects: Technology development, transfer, consulting, and services in the field of integrated circuits and artificial intelligence products; R&D and sales of integrated circuits and artificial intelligence products; enterprise management consulting; business consulting (excluding investment consulting). (Except for projects that require approval according to law, business activities can be carried out independently with a business license.)

Recent Financial Data of Zhinen Industrial