On July 5, 2022, Jilin Chemical Fibre Stock Co.,Ltd closed the transaction. The company issued 290,556,900 A shares at a price of CNY 4.13 per share for gross proceeds of CNY 1,199,999,997 in the transaction. The transaction included participation from Jilin Jisheng Financial Investment Holding Group Co., Ltd. for CNY 34,999,998.88, Hunan Development Group Co.,Ltd for CNY 34,999,998.88, Jilin Guohong Investment Co., Ltd. for CNY 41,999,997.83, Qingdao Redstone Equity Investment Management Center (Limited Partnership), a fund managed by Beijing Redstone Capital Management Co., Ltd. for CNY 189,999,997.46, Fengshi Growth No.

3 Private Securities Investment Fund for CNY 34,999,998.88, Huatai Youyi stock-specific pension products-Agricultural Bank of China Limited for CNY 34,999,998.88, Huatai Preferred No. 3 stock pension product-Industrial and Commercial Bank of China Limited for CNY 34,999,998.88, Huatai Youyi No. 5 Hybrid Pension Product-Bank of China Limited for CNY 35,999,999.91, China Asset Management Co., Ltd. for CNY 100,999,996.65, Caitong Fund Management Co., Ltd. for CNY 154,099,997.24, Zhongjue BBK No.

3 Private Securities Investment Fund, a fund managed by Anhui Zhongjue Private Equity Fund Management Co., Ltd. for CNY 35,999,999.91, Jilin State Owned Capital Investment And Operation Co.,Ltd. for CNY 36,999,996.81, Nuode Fund Management Co., Ltd. for CNY 88,849,999.21, Wt Asset Management Ltd for CNY 69,999,997.76, Guotai Junan Assets (Asia) Limited for CNY 60,999,996.75, Shaoxing Donghui New Material Partnership (Limited Partnership) for CNY 99,999,999.75, Jinan Hanxiang Investment Management Partnership Enterprise (Limited Partnership) for CNY 34,999,998.88, and Ruihua Selected No. 8 Private Securities Investment Fund, a fund managed by Jiangsu Ruihua Investment Management Co., Ltd. for CNY 32,050,026.61, and individual investor, He Jianguo for CNY 41,999,997.83. The shares subscribed for this time shall not be transferred within 6 months from the date of listing of the newly added shares after the issuance.

After deducting the expenses related to the issuance of CNY 18,247,924.48, the net amount of funds raised by company was CNY 1,181,752,072.52, which was included in the share capital was CNY 290,556,900.00, which was included in the capital reserve – share capital premium of CNY 891,195,172.52. The issue expenses includes sponsorship and underwriting fees for CNY 16,474,339.60, attorney fees for CNY 1,037,735.82, audit and verification fee for CNY 396,226.42, and Information disclosure service fee CNY 339,622.64. The newly issued shares have completed the registration and custody procedures at the Shenzhen Branch of China Securities Depository and Clearing Corporation Limited, and the Shenzhen Branch of China Securities Depository and Clearing Corporation Limited has issued a securities registration certificate.