Announcement of Preliminary Allocation Results for Offline Issuance of Initial Public Offering and Listing on the ChiNext Board
Sponsor (Lead Underwriter): Dongwu Securities Co., Ltd.
Special Reminder: Guode Electric Material Systems (Suzhou) Co., Ltd. (hereinafter referred to as "the Issuer," "Guode Electric Material," or "the Company") has received approval from the ChiNext Listing Committee of the Shenzhen Stock Exchange (hereinafter referred to as "SZSE") for its application to publicly issue no more than 20.7 million shares of ordinary shares (A shares) and list on the ChiNext Board. The registration has been granted by the China Securities Regulatory Commission (hereinafter referred to as "CSRC") under document [2026] No. 45.
This issuance will be conducted through a combination of strategic placement to participating investors (hereinafter referred to as "Strategic Placement"), offline issuance to qualified investors through price inquiry (hereinafter referred to as "Offline Issuance"), and online issuance to public investors holding non-restricted A shares and non-restricted depository receipts in the Shenzhen market (hereinafter referred to as "Online Issuance"). The Issuer and the sponsor (lead underwriter) Dongwu Securities Co., Ltd. (hereinafter referred to as "Dongwu Securities" or "the Sponsor") have agreed on the issuance quantity of 20.7 million shares at a price of 58.00 RMB per share.
The issuance price does not exceed the lower of the median and weighted average of the offline investors' quotes after excluding the highest bid, as well as the median and weighted average of the quotes from public funds, national social security funds, basic pension insurance funds, enterprise annuity funds, and qualified foreign institutional investors after excluding the highest bid. Therefore, subsidiaries of the sponsor are not required to participate in this strategic placement.
According to the final determined issuance price, the investors participating in the strategic placement consist of the Issuer's senior management and core employees through a special asset management plan established for this strategic placement (i.e., CITIC JianTou Fund - Win-Win No. 75 Employee Participation Strategic Placement Collective Asset Management Plan) (hereinafter referred to as "Guode Electric Material Employee Management Plan") and other investors participating in the strategic placement. The final number of shares allocated to the Guode Electric Material Employee Management Plan is 1,982,758 shares, accounting for approximately 9.58% of the total issuance. The final number of shares allocated to other participating investors in the strategic placement is 991,375 shares, accounting for approximately 4.79% of the total issuance.
The initial strategic placement quantity was 4,140,000 shares, accounting for 20.00% of the total issuance, while the final strategic placement quantity was 2,974,133 shares, accounting for approximately 14.37% of the total issuance. The difference of 1,165,867 shares between the initial and final strategic placements will be returned to the offline issuance. After the strategic placement adjustment and before the online and offline adjustment mechanism is activated, the initial offline issuance quantity is 12,757,867 shares, accounting for 71.97% of the total issuance after deducting the final strategic placement quantity; the initial online issuance quantity is 4,968,000 shares, accounting for 28.03% of the total issuance after deducting the final strategic placement quantity. The final total quantity for offline and online issuance after the strategic placement adjustment is 1,772,586.7 shares, and the final issuance quantity for online and offline will be determined based on the adjustment situation.
According to the "Announcement of the Initial Public Offering and Listing of Guode Electric Material Systems (Suzhou) Co., Ltd." (hereinafter referred to as "the Issuance Announcement") published adjustment mechanism, since the preliminary effective subscription multiple for online investors is 11,154.73128 times, exceeding 100 times, the Issuer and the sponsor (lead underwriter) have decided to activate the adjustment mechanism, returning 20% (rounded up to the nearest multiple of 500 shares, i.e., 3,545,500 shares) of the total number of publicly issued shares after deducting the final strategic placement quantity from offline to online.