Tonghua Grape Wine Co.,Ltd announced a private placement of not more than 100,000,000 common shares at an issue price of CNY 1.70 per share for gross proceeds of not more than CNY 170,000,000 on March 18, 2021. The company has signed a share purchase agreement with the investor. The transaction will involve participation from Suqian Zhongsheng Technology Co., Ltd. The shares cannot be transferred within 18 months from the issuance closing date. The transaction has been approved in the 31st meeting of its 7th directorate of the company and is subject to the approvals of the shareholders and the China Securities Regulatory Commission.