Jiangsu Zhuosheng Microelectronics Co., Ltd. (hereinafter referred to as "the Company" or "Zhuosheng Micro") held the 18th meeting of the third board of directors on June 2, 2026, where it reviewed and approved the proposal on the use of raised funds to replace self-funded investments in fundraising projects and issuance expenses. The Company and its subsidiary, Wuxi Xinzhuohuguang Semiconductor Co., Ltd. (hereinafter referred to as "the Subsidiary"), agreed to use RMB 28.3999 million of raised funds to replace self-funded investments in fundraising projects (hereinafter referred to as "fundraising projects") and issuance expenses already paid.
The Company's sponsor, China International Capital Corporation Limited (hereinafter referred to as "the Sponsor"), has issued a verification opinion on this matter, and Lixin Certified Public Accountants (Special General Partnership) has issued a special verification report. The specific circumstances are announced as follows:
1. Basic Situation of Raised Funds
According to the China Securities Regulatory Commission (hereinafter referred to as "CSRC") approval document (Zheng Jian Xu Ke [2025] No. 2905), the Company issued 40,043,788 shares of RMB ordinary shares (A shares) at a price of RMB 86.78 per share, raising a total of RMB 3,474,999,922.64. After deducting various issuance expenses (excluding VAT) of RMB 12,638,972.63, the actual net amount raised was RMB 3,462,360,950.01. All raised funds have been received, and this has been verified by Lixin Certified Public Accountants (Special General Partnership) on April 17, 2026, with the verification report number [2026] No. ZA11702.
To standardize the management and use of raised funds and protect investors' rights, the Company and its subsidiary have established relevant special accounts for raised funds. After the funds were received, they were all deposited into the special accounts approved by the board of directors, and a tripartite supervision agreement was signed with the Sponsor and the commercial bank holding the raised funds.
2. Situation of Fundraising Projects
According to the use of raised funds documented in the "Prospectus for the 2025 A Share Issuance by Jiangsu Zhuosheng Microelectronics Co., Ltd.," the raised funds, after deducting issuance expenses, are intended to be invested in the following projects:
| Project Name | Total Investment | Proposed Investment from Raised Funds |
|---|---|---|
| RF Chip Manufacturing Expansion | 418,243.26 | 300,000.00 |
| Supplementing Working Capital | 47,500.00 | 47,500.00 |
| Total | 465,743.26 | 347,500.00 |