Huatai United Securities Co., Ltd.
Verification Opinion on the "Inquiry Letter Regarding the Restructuring of Jiangsu Dongxing Smart Medical Technology Co., Ltd." from the Shenzhen Stock Exchange
Independent Financial Advisor
Date: June 2026 [blank]
Jiangsu Dongxing Smart Medical Technology Co., Ltd. (hereinafter referred to as "Dongxing Medical," "the listed company," or "the Company") received the "Inquiry Letter Regarding the Restructuring of Jiangsu Dongxing Smart Medical Technology Co., Ltd." (ChiNext M&A Inquiry Letter [2026] No. 5, hereinafter referred to as the "Inquiry Letter") from the Shenzhen Stock Exchange on May 26, 2026. Huatai United Securities Co., Ltd. (hereinafter referred to as the "Independent Financial Advisor" or "Huatai United Securities"), acting as the independent financial advisor for this transaction, has, in conjunction with the listed company and other relevant intermediaries, carefully analyzed and verified the relevant issues, implemented them item by item, and hereby issues this verification opinion.
Unless otherwise specified, the abbreviations or definitions used in this verification opinion have the same meanings as those defined in the "Definitions" section of the restructuring report.
The financial data in this verification opinion are rounded to two decimal places. Any discrepancies between the totals and the sums of the individual items are due to rounding.
Fonts used in this verification opinion:
Questions listed in the Inquiry Letter: Bold
Responses to the Inquiry Letter: Song typeface (non-bold)
Supplementary disclosure content: Kai typeface (bold)
Table of Contents
Question 1: 3
Question 2: 8
Question 3: 12
Question 4: 30
Question 5: 63
Question 6: 72
Question 7: 78
Question 8: 110
Question 9: 119
Question 10: 123
Question 11: 129
Question 12: 132
Question 13: 139
Question 14: 142
Question 15: 144
Question 16: 146
Question 17: 148
Question 1
The report shows that this transaction adopts a cash payment method with a transaction consideration of 769.5 million RMB, funded by reallocating a portion of IPO proceeds, as well as internal or self-raised funds. As of the end of 2025, your company's cash balance was 78 million RMB, and the balance of trading financial assets was 1.197 billion RMB. Please:
(1) Explain the necessity and reasonableness of reallocating the use of raised funds to pay the cash consideration, combined with the specific products of trading financial assets, corresponding amounts, maturity dates, the company's daily operating capital requirements, and investment/financing arrangements, and whether it complies with relevant regulations on the supervision of raised funds for listed companies.
(2) Explain whether the source of funds for this transaction involves loans. If so, please explain the name of the lender, amount, interest rate, repayment plan, source of repayment funds, and progress as of the date of the reply.
(3) Quantitatively analyze the impact of this transaction on the company's cash flow and explain whether it will lead to significant adverse changes in the listed company's financial position.
Please have the financial advisor verify and express a clear opinion.
Response:
I. Explain the necessity and reasonableness of reallocating the use of raised funds to pay the cash consideration, combined with the specific products of trading financial assets, corresponding amounts, maturity dates, the company's daily operating capital requirements, and investment/financing arrangements, and whether it complies with relevant regulations on the supervision of raised funds for listed companies.
As of the end of 2025, the specific details of the company's trading financial assets are as follows: