Wuhan Jingce Electronic Group Co., Ltd. Board of Directors
Explanation on the Transaction Constituting a Major Asset Reorganization, Related Party Transaction, and Not Constituting a Restructuring and Listing
Wuhan Jingce Electronic Group Co., Ltd. (hereinafter referred to as the "Company") proposes to acquire 41.17% of the equity of Shanghai Jingce Semiconductor Technology Co., Ltd. (hereinafter referred to as the "Target Company") by issuing shares, convertible corporate bonds, and paying cash, and to raise supporting funds (hereinafter referred to as the "Transaction"). After careful review by the Board of Directors, the explanation regarding whether the Transaction constitutes a major asset reorganization, a related party transaction, and a restructuring and listing is as follows: