YiChang HEC ChangJiang Pharmaceutical : PROPOSED ELECTION OF DIRECTORS OF THE THIRD SESSION OF THE BOARD OF DIRECTORS AND PROPOSED ELECTION OF SUPERVISORS OF THE THIRD SESSION OF THE BOARD OF SUPERVISORS

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

YiChang HEC ChangJiang Pharmaceutical Co., Ltd.

֝׹؇ජΈڗϪᖹٰุ΅Ϟࠢʮ̡

(A joint stock company incorporated in the People's Republic of China with limited liability)

(Stock Code: 01558)

PROPOSED ELECTION OF DIRECTORS OF

THE THIRD SESSION OF THE BOARD OF DIRECTORS

AND

PROPOSED ELECTION OF SUPERVISORS OF

THE THIRD SESSION OF THE BOARD OF SUPERVISORS

PROPOSED ELECTION OF DIRECTORS OF THE THIRD SESSION OF THE BOARD OF DIRECTORS

The board of directors (the ''Board of Directors'') of YiChang HEC ChangJiang Pharmaceutical Co., Ltd. (the ''Company'') hereby announces that the term of the second session of the Board of Directors will expire soon. On 19 March 2021, a meeting of the Board of Directors was convened to consider and approve the following candidates for directors of the Company (the ''Director(s)'') of the third session of the Board of Directors, subject to the approval by the shareholders of the Company (the ''Shareholders'') at the annual general meeting of the Company for the year of 2020 (the ''AGM''):

(1) Candidates for executive Directors: Mr. Jiang Juncai, Mr. Wang Danjin, Mr. Chen Yangui and Mr. Li Shuang;

• (2) Candidates for non-executive Directors: Mr. Tang Xinfa and Mr. Eddy Huang; and

(3) Candidates for independent non-executive Directors: Mr. Tang Jianxin, Mr. Zhao Dayao, Ms. Xiang Ling and Mr. Li Xuechen.

The Board of Directors also resolved to appoint the members of each of the board committees as below, upon the approval of such candidates as Directors by the Shareholders:

• (1) Audit Committee: Mr. Tang Jianxin (Chairman), Mr. Zhao Dayao, Mr. Tang Xinfa;

• (2) Remuneration and Evaluation Committee: Ms. Xiang Ling (Chairman), Mr. Tang Jianxin, Mr. Jiang Juncai; and

• (3) Nomination Committee: Mr. Zhao Dayao (Chairman), Ms. Xiang Ling, Mr. Eddy Huang.

Pursuant to the Company Law of the People's Republic of China (the ''PRC'') and the articles of association of the Company (the ''Articles''), the existing Directors shall continue to perform their duties as Directors before the election and formation of the third session of the Board of Directors.

The above candidates of the third session of the Board of Directors meet the qualification requirements as stipulated in relevant PRC laws, regulations and the Articles and will be elected as Directors of the third session of the Board of Directors at the AGM.

The Directors of the third session of the Board of Directors will serve for a term of three years. Upon the approval by the Shareholders of the above candidates, the Company will enter into a service contract with each of them and for a term commencing on the date of approval of their appointments at the AGM. The remuneration of each executive Director will be determined pursuant to the decisions of the general meeting, and with reference to the duty, responsibility and performance of the executive Directors, results of the Company and its subsidiaries (the ''Group'') and other factors which may be considered as relevant and appropriate. The non-executive Directors will not receive any remuneration from the Company. The proposed annual remuneration of Mr. Tang Jianxin, Mr. Zhao Dayao, Ms. Xiang Ling and Mr. Li Xuechen for serving as independent non-executive Directors are RMB100,000, RMB680,000, RMB100,000 and RMB160,000 respectively, which are determined with reference to their duties and responsibilities within the Company, the Company's remuneration policy and the prevailing market conditions.

Biographical details of the candidates of the third session of the Board of Directors are set out in Appendix I to this announcement.

As at the date of this announcement, save as disclosed in Appendix I, the candidates of the third session of the Board of Directors confirmed that (i) they did not hold any directorship in any other listed companies during the past three years; (ii) they do not hold any other position in the Group; (iii) they have no relationship with any director, supervisor, senior management member, substantial shareholder or controlling shareholder of the Company; and (iv) they have not owned any interest as defined in Part XV of the Securities and Futures Ordinance (Cap 571, Laws of Hong Kong) (the ''SFO'') in the shares or underlying shares of the Company.

Save as disclosed in Appendix I, the candidates of the third session of the Board of Directors have not involved in any matter which is required to be disclosed pursuant to Rules 13.51(2)(h) to 13.51(2)(v) of the Rules Governing the Listing of Securities of The Stock Exchange of Hong Kong Limited (the ''Listing Rules''), and there is no other matter that needs to be brought to the attention of the Shareholders.

PROPOSED ELECTION OF SHAREHOLDER REPRESENTATIVE SUPERVISORS OF THE THIRD SESSION OF THE BOARD OF SUPERVISORS

The board of supervisors of the Company (the ''Board of Supervisors'') also announces that the term of the second session of the Board of Supervisors will expire soon. On 19

March 2021, a meeting of the Board of Supervisors was convened to consider and approve the appointments of Mr. Tang Jinlong and Mr. Luo Zhonghua as candidates for shareholder representative supervisors (the ''Supervisor(s)'') of the third session of the Board of Supervisors, subject to the approval of Shareholders at the AGM.

The Board of Supervisors also announces that on 10 March 2021, Mr. Wang Shengchao was elected as the employee representative Supervisor of the third session of the Board of Supervisors by the 2021 first meeting of the employee representatives of the Company. The Company will enter into a service contract with Mr. Wang Shengchao. The term of Mr.

Wang Shengchao serving as the employee representative Supervisor of the third session of the Board of Supervisors will be same as that of the third session of the Board of Supervisors. Re-election may be carried out upon expiration of the tenure of office.

Pursuant to the Company Law of the PRC and the Articles, the existing Supervisors shall continue to perform their duties as Supervisors before the election and formation of the third session of the Board of Supervisors.

The above candidates of the third session of the Board of Supervisors meet the qualification requirements as stipulated in relevant PRC laws, regulations and the Articles.

The third session of the Board of Supervisors will serve for a term of three years. Upon the approval by the Shareholders of the above candidates for the shareholder representative Supervisors, the Company will enter into a service contract with each of them and for a term commencing on the date of approval of their appointments at the AGM and ending on the expiry of the third session of the Board of Supervisors.

Each of the candidates for the shareholder representative Supervisors and the employee representative Supervisor of the third session of the Board of Supervisors will not receive any supervisor's remuneration for serving as the Supervisors during their respective term of office, and will only receive remuneration for their respective position held in the Company, the amounts of which are determined by the management of the Company.

Biographical details of the candidates for shareholder representative Supervisors and the employee representative Supervisor of the third session of the Board of Supervisors are set out in Appendix II to this announcement.

As at the date of this announcement, save as disclosed in Appendix II, the candidates for shareholder representative Supervisors and the employee representative Supervisor confirmed that (i) they did not hold any directorship in any other listed companies during the past three years; (ii) they do not hold any other position in the Group; (iii) they have no relationship with any director, supervisor, senior management member, substantial shareholder or controlling shareholder of the Company; and (iv) they have not owned any interest as defined in Part XV of the SFO in the shares or underlying shares of the Company.

Save as disclosed in Appendix II, the candidates for shareholder representative Supervisors and the employee representative Supervisor mentioned above have not involved in any matter which is required to be disclosed pursuant to Rules 13.51(2)(h) to 13.51(2)(v) of the Listing Rules, and there is no other matter that needs to be brought to the attention of the Shareholders.

GENERAL

A circular containing, among other things, (i) details of the proposed election of Directors of the third session of the Board of Directors; and (ii) details of the proposed election of shareholder representative Supervisors of the third session of the Board of Supervisors, together with notice convening the AGM, will be despatched to the Shareholders in due course.

On behalf of the Board of Directors of

YiChang HEC ChangJiang Pharmaceutical Co., Ltd.

TANG Xinfa

Chairman

Hubei, the PRC

19 March 2021

As at the date of this announcement, the Board of Directors consists of Mr. JIANG Juncai, Mr. WANG Danjin, Mr. CHEN Yangui and Mr. LI Shuang as executive directors; Mr. TANG Xinfa and Mr. Eddy HUANG as non-executive directors; and Mr. TANG Jianxin, Mr. ZHAO Dayao, Ms. XIANG Ling and Mr. LI Xuechen as independent non-executive directors.

Appendix I

Biographical details of the candidates for Directors of the third session of the Board of Directors are set out below:

Candidates for Executive Directors

Mr. Jiang Juncai (蔣均才), aged 39, is an executive Director and the general manager of the Company. He joined the Company in May 2015 and has served as an executive Director since then. He is a member of the Remuneration and Evaluation Committee of the Board of Directors (the ''Remuneration and Evaluation Committee'').

Mr. Jiang served as a director of Yidu HEC Industrial Development Co., Ltd. (宜都市東陽 光實業發展有限公司) from March 2012 to May 2015. Prior to that, Mr. Jiang was a director of Yichang Shancheng Cordyceps Sinensis Co., Ltd. (宜昌山城水都冬蟲夏草有限公司) from March 2012 to July 2015, and successively served as a researcher at the biochemistry division, a researcher and deputy head of the traditional Chinese medicine division and the deputy head of the zoological and botanical division of Sunshine Lake Pharma Co., Ltd. (廣 東東陽光藥業有限公司) from July 2006 to May 2012.

Mr. Jiang graduated with a master's degree in science from Shenyang Pharmaceutical University (瀋陽藥科大學) in June 2006.

As at the date of this announcement, Mr. Jiang holds 66,800 H shares of the Company.

Mr. Wang Danjin (王丹津), aged 51, is an executive Director and a deputy general manager of the Company. He joined the Company in February 2006, and has served as an executive Director since then.

Mr. Wang has also served as a supervisor of HEC Pharm Co., Ltd. (宜昌東陽光藥業股份有 限公司) from December 2010 to July 2015, and a director of Yichang HEC Pharmaceutical Co., Ltd. (宜昌東陽光醫藥有限公司) from April 2006 to January 2018. Prior to joining the Company, Mr. Wang was the head of production department of Jilin Tonghua Dongri Pharmaceutical Joint Stock Co., Ltd. (吉林省通化東日藥業股份有限公司) from March 2002 to January 2006, and a technologist at Liaoning Dandong Pharmaceutical Factory (遼寧省丹 東製藥廠 ) from November 1991 to February 2002.

Mr. Wang graduated with a bachelor's degree from Shenyang Pharmaceutical University (瀋 陽藥科大學) through correspondence courses in January 2008. He is recognised as a licensed pharmacist by Ministry of Human Resources and Social Security of the People's Republic of China (formerly known as Ministry of Personnel of the People's Republic of China), and was recognised as a pharmacist-in-charge by Bureau of Human Resources and Social Security of Dandong (formerly known as Bureau of Personnel of Dandong (丹東市人 事局)) in October 2001.

As at the date of this announcement, Mr. Wang holds 67,200 H shares of the Company.

Mr. Chen Yangui (陳燕桂), aged 39, is an executive Director. He joined the Company in May 2014, serving as the head of the sales department. Mr. Chen has served as an executive Director since May 2015.

In addition, Mr. Chen has served as the chairman and general manager of Yidu Guijun Pharmaceutical Technology Co., Ltd (宜都桂鈞醫藥科技有限公司) since May 2019. Mr. Chen has served as an executive director of Dongguan Yangzhikang Pharmaceutical Co., Ltd. (東莞市陽之康醫藥有限責任公司) since August 2018, has also served as a general manager and an executive director of Yichang HEC Pharmaceutical Co., Ltd. (宜昌東陽光醫 藥有限公司) since March 2016 and January 2018, respectively, a legal representative of Yichang HEC Pharmaceutical Co., Ltd. (宜昌東陽光醫藥有限公司) since January 2018, a director of Dongguan HEC TaiGen Biopharmaceuticals Co., Ltd. (東莞東陽光太景醫藥研發 有限責任公司) since January 2017, a supervisor of Ruyuan HEC Medical Instrument Co., Ltd. (乳源東陽光醫療器械有限公司) since July 2012 and a director of Ruyuan HEC Pharmaceutical Co., Ltd. (乳源東陽光藥業有限公司) since March 2010. Mr. Chen joined Dongguan HEC Medicine Development and Research Co., Ltd. (東莞東陽光藥物研發有限 公司) in 2005, and successively held positions as a researcher, the deputy head of research and development department and the head of synthesis department before he was appointed as the deputy head of research institute and the head of generic drug department.

Mr. Chen graduated with a master's degree in science from Hunan University (湖南大學 )in June 2006.

As at the date of this announcement, Mr. Chen holds 66,400 H shares of the Company.

Mr. Li Shuang (李爽), aged 40, is an executive Director and the deputy general manager of the Company. He joined the Company in August 2005 and worked as a member of the insulin research team. He has served as the deputy general manager of the Company since May 2015 and served as an executive Director since June 2018.

Mr. Li has also served as the deputy head of the Company's insulin factory since October 2013 and the head of active pharmaceutical ingredient department of that factory since February 2006. Mr. Li was the head of purification department of the Company's insulin factory from December 2008 to September 2013.

Mr. Li graduated with a bachelor's degree in engineering from China Three Gorge University (三峽大學) in June 2004.

As at the date of this announcement, Mr. Li holds 66,800 H shares of the Company.

Candidates for Non-executive Directors

Mr. Tang Xinfa (唐新發), aged 51, is the chairman of the Board of Directors and a non-executive Director. He joined the Company in May 2015 and has served as a non-executive Director since then. He is a member of the Audit Committee of the Board of Directors (the ''Audit Committee'').

Mr. Tang has extensive working experience in the following companies or entities:

Principal

Period

Name of Company/EntityPosition Function

Since September 2019

Yidu Tang Junyi Health

Industry Development Co.,

Ltd. (宜都唐俊義健康產業 發展有限公司)

executive director Corporate and general management and manager decision-makingSince September 2019

Yidu Tang Juntao

Pharmaceutical Technology Co., Ltd. (宜都唐俊濤醫藥 科技有限公司)

executive director and general managerCorporate management and decision-makingSince September 2019

Ruyuan Yao Autonomous

County Taidong

Pharmaceutical Co., Ltd.

(乳源瑤族自治縣泰東藥業

Legal representative and executive directorCorporate management and decision-making

有限公司)

Since April 2019

Guangdong HEC Technology

Holding Co., Ltd.

(廣東東陽光科技控股股份

Vice chairman and executive directorCorporate management and decision-making

有限公司)

Since August 2018

Dongguan Dong Yang Guang

Gaoneng Medical Equipmentdirector and manager

Co., Ltd. (東莞東陽光高能

Corporate management and decision-making

醫療設備有限公司)

Since January 2017

Dongguan HEC TaiGen

Biopharmaceuticals Co., Ltd.

(東莞東陽光太景醫藥研發

有限責任公司)

Legal representative, chairman of the board of directors and directorCorporate management and decision-makingFrom March 2016 to September 2020

Shenzhen HEC Pharmaceutical

Director

Co., Ltd. (深圳市東陽光藥業 有限公司)

Corporate management and decision-making

Period

Name of Company/EntityPositionPrincipal Function

Since December 2016

Linzhi HEC Pharmaceutical

Research Co., Ltd. (林芝東陽 光藥業研發有限公司)

Legal representative and director

Corporate management and decision-makingSince November 2015

Shenzhen HEC Industrial

Development Co., Ltd.

(深圳市東陽光實業發展 有限公司)

Director and general manager

Corporate management and decision-makingSince December 2014

Yichang HEC Research Co.,

Ltd. (宜昌東陽光藥研發 有限公司)

Legal representative, executive director and general managerCorporate management and decision-makingSince March 2011 Yichang HEC Pharm Co., Ltd.

(宜昌東陽光藥業股份 有限公司)

Director

Corporate management and decision-makingSince October 2010

Dongguan HEC Medicine

Development and Research Co., Ltd. (東莞東陽光藥物 研發有限公司)

Legal representative, chairman of the board of directors and managerCorporate management and decision-making

From May 2010 to August 2020

Yichang HEC Pharmaceutical

Co., Ltd. (宜昌東陽光健康 藥業有限公司) (formerly known as Linzhi HEC Pharmaceutical Investment Co., Ltd. (林芝東陽光藥業 投資有限公司))

Director

Corporate management and decision-makingFrom September 2009 to April 2018

Ruyuan HEC Pharmaceutical

Co., Ltd. (乳源東陽光藥業 有限公司)

Director

Corporate management and decision-making

Since September 2008

Guangdong Southern China

Advanced Pharmaceutical Co., Ltd (廣東華南新藥創製 有限公司)

Director

Corporate management and decision-makingSince September 2005

Sunshine Lake Pharma Co.,

Ltd. (廣東東陽光藥業 有限公司)

Director

Corporate management and decision-making

- 8 -

Principal

Chief of the office Corporate management and decision-making

Mr. Tang received a master's degree in literary aesthetics from the Department of Chinese of Xiamen University (廈門大學) in September 2002.

As at the date of this announcement, Mr. Tang holds 130,400 H shares of the Company.

Mr. Eddy Huang (黃翊), aged 45, was appointed as a non-executive Director on 20 February 2019. He is a member of the Nomination Committee of the Board of Directors (the ''Nomination Committee'').

Mr. Huang is a senior managing director of Blackstone's Private Equity Group. Prior to joining Blackstone, Mr. Huang was a managing director at Morgan Stanley Private Equity Asia where he focused on private equity investments in China. Mr. Huang received an M.B.A. from Harvard Business School in 2002 and a B.A. from Yale University in 1997.

Candidates for Independent Non-executive Directors

Mr. Tang Jianxin (唐建新), aged 56, was appointed as an independent non-executive Director in May 2015. He is the chairman of the Audit Committee and a member of the Remuneration and Evaluation Committee.

Mr. Tang is currently an independent director of Pingdingshan Tianan Coal Mining Co., Ltd. (平頂山天安煤業股份有限公司) (Shanghai Stock Exchange (''SSE'') stock code: 601666) (since May 2013), an independent director of Hunan Tea Group Co., Ltd. (湖南省茶業集團 股份有限公司) (since May 2015), a supervisor of Wuhan Jihua Jirui Financial Consulting Co., Ltd. (武漢市吉華吉瑞財務諮詢有限責任公司) (since December 2017), an independent director of Wuhan Ligong Guangke CO. Ltd. (武漢理工光科股份有限公司) (Shenzhen Stock Exchange (''SZSE'') stock number: 300557) (since July 2019), an independent director of Wuhan Boiler Co., Ltd. (武漢鍋爐股份有限公司) (New Third Board stock number: 420063) (since October 2019), an independent director of Zhejiang Reclaim Construction Group Co., Ltd. (浙江省圍海建設集團股份有限公司) (SZSE stock number: 002586) (since January 2020), and an independent director of Wuhan Department Store Group (武商集團股份有限公司) (SZSE Stock number: 000501) (since July 2020).

Moreover, Mr. Tang was an independent director of Sino Great Wall Co., Ltd. (神州長城股 份有限公司) (SZSE stock number: 000018) from December 2015 to December 2018, an independent director of Zhongbai Holdings Group Co., Ltd. (中百控股集團股份有限公司) (SZSE stock code: 000759) from December 2011 to December 2017 and an independent director of Shenzhen Huapengfei Modern Logistics Co., Ltd. (深圳市華鵬飛現代物流股份有 限公司) (SZSE stock code: 300350) from August 2010 to August 2016. He was an independent director of Wuhan Sanzhen Industry Holding Co., Ltd. (武漢三鎮實業控股股份 有限公司) (SSE stock code: 600168) from June 2009 to June 2015 and an independent director of Wuhan Zhongnan Commercial (Group) Co., Ltd. (武漢中商集團股份有限公司) (SZSE stock code: 000785) from May 2008 to May 2014. Prior to that, Mr. Tang served as an independent director of Wuhan Accelink Technologies Co., Ltd. (武漢光迅科技股份有限 公司) (SZSE stock code: 002281) from September 2006 to September 2009 and an independent director of Hubei Chutian Expressway Co., Ltd (湖北楚天高速公路股份有限公 司) (SSE stock code: 600035) from April 2002 to April 2008. Mr. Tang has been a professor of the Accounting Department of Economics and Management School of Wuhan University since 2004 and a doctoral tutor at Wuhan University (武漢大學) since 2006. He served as the dean of Accounting Department of Economics and Management School in the same university from 2005 to 2015. He worked for the postdoctoral research center of the accounting department of Renmin University of China (中國人民大學) from 2000 to 2002.

Mr. Tang received his bachelor's degree from the Economics Department of Wuhan University in June 1985, and then obtained a master's degree in economics and a doctoral degree in economics from Wuhan University in September 1988 and January 1999 respectively. Mr. Tang was granted independent auditor qualifications by the National Audit Office of the People's Republic of China in December 1992, and Certified Public Valuer qualification by the Chinese Institute of Certified Public Valuers in December 1996.

Mr. Zhao Dayao (趙大堯), aged 64, was appointed as an independent non-executive Director on 11 October 2019. He is the chairman of the Nomination Committee and a member of the Audit Committee.

Mr. Zhao holds a bachelor's degree in Neurology and Pediatrics from Beijing University Medical School and a doctoral degree in Science in Neurobiology from Harvard Medical School. Mr. Zhao has been the chief executive officer of Affamed Therapeutics (Shanghai) Co. Ltd (上海艾邁醫藥科技有限公司) since 2020. He served as the chief executive officer of Eucure (Beijing) Biopharma Co., Ltd (佑和醫藥科技(北京)有限公司) from September 2019 to July 2020. He has extensive experience in drug discovery and development. Since January 2016, Mr. Zhao has been the general manager of Pfizer China R&D Center Shanghai, Wuhan and Beijing. He was also the head of Pfizer's Drug R&D Organization in China, which was fully responsible for all clinical development of Pfizer for the Chinese and the global markets. From 2011 to 2015, Mr. Zhao was the head of China R&D of Johnson & Johnson's pharmaceutical division. He established the operating model of R&D and scientific affairs and shaped a clear vision for such model to support the new Johnson & Johnson strategy, bringing together several groups from both Johnson & Johnson China and the Asia R&D center into one end-to-end R&D organization based in China. He led Johnson & Johnson China R&D to conduct numerous clinical trials and registered many new products in China and around the world.

Prior to joining Johnson & Johnson, Mr. Zhao was a group vice president at Genzyme Corporation. He headed up Genzyme Corporation's Japan-Asia Pacific R&D where he had overall responsibilities for Clinical Development, Pharmacovigilance, medical affairs and regulatory affairs. His role included the responsibility for all phases I to IV studies in the region. In addition, he had accountability for Genzyme Corporation's Quality Council for the region.

Prior to his position at Genzyme Corporation, Mr. Zhao worked at Pfizer's R&D Center, where he was responsible for exploration and clinical development, and led the central nervous system clinical development team in North America at Novartis.

Ms. Xiang Ling (向凌), aged 39, was appointed as an independent non-executive Director on 5 June 2020. She is the chairman of the Remuneration and Evaluation Committee and a member of the Nomination Committee.

Ms. Xiang graduated from the Law School of Hunan Normal University (湖南師範大學法學 院) in 2003 with a bachelor's degree in law. She further obtained a master's degree in Laws (International Economic Law) from the Law School of Sun Yat-sen University (中山大學 )in 2006 and a doctoral degree of Judicial Science (Theory of Law) (法學博士 (法學理論) 學 位) from the Law School of Sun Yat-sen University (中山大學) in 2013.

Ms. Xiang has been teaching at the School of Law of Guangdong University of Finance since July 2006. Her research mainly covers contract law, company law, intellectual property law, and international economic law. Currently, she takes lead of 2 provincial-level research topics, and has participated as a main participant in the projects of National Social Science Foundation (國家社科基金項目), the projects of Humanities and Social Sciences Research Foundation of the Ministry of Education (教育部人文社科基金項目), and the projects of several provincial-level research topics. She has published more than ten papers in core journals such as Political Science and Law 《( 政治與法律》), Intellectual Property 《(知識產權》), Academics in China 《( 學術界》), Social Sciences in Guangdong 《( 廣東社會科 學》), Journal of Hunan University 《( 湖南大學學報》), and Presentday Law Science 《( 時代法 學》).

Ms. Xiang participated and successfully graduated in the 97th Independent Director Training (第97期獨立董事培訓) held by the Shenzhen Stock Exchange in September 2018 and was eligible to be incumbent as an independent director of a listed company.

Ms. Xiang has been an independent director of SGIS Songshan Co., Ltd. (廣東韶鋼松山股 份有限公司) since June 2019, whose shares are listed on the Shenzhen Stock Exchange (stock code: 000717). She is currently an executive director (常務理事) of the Intellectual Property Committee (知識產權學會) of the Guangdong Province Law Society (廣東省法學 會), a director (理事) of the Financial Law Research Committee (金融法學研究會) of the Guangdong Province Law Society, a director of the International Law Research Committee (國際法學研究會) of the Guangdong Province Law Society, a director of the Economic Law Research Committee (經濟法學研究會) of the Guangdong Province Law Society, a director of the Guangzhou Law Society, Tianhe District (廣州市天河區法學會), a director of the fifth council of The Association of Registered Tax Agents of Guangdong Province (廣東省 註冊稅務師協會第五屆理事會), a consultant on the area of marine rights and interests (海洋 權益諮詢專家) of the South China Sea Branch of State Oceanic Administration, a legalconsultant of Guangdong Xuping Jewelry Co., Ltd. (廣東旭平首飾有限公司) and a part-time lawyer of the Legal Aid Center of Guangdong University of Finance (廣東金融學院法律援 助中心).

Mr. Li Xuechen (李學臣), aged 44, was appointed as an independent non-executive Director on 25 September 2020.

Mr. Li graduated from the College of Chemistry of the Nankai University (南開大學) with a bachelor's degree of Chemistry in 1999. He further obtained a master's degree of Chemistry from the Science Faculty of University of Alberta in 2003 and a doctoral degree of Chemistry and Chemical Biology from the Division of Science of Harvard University in 2006.

From 2007 to 2009, Mr. Li worked for a post-doctoral research at the Memorial Sloan-Kettering Cancer Center, USA, responsible for research on chemistry and pharmacy. Mr. Li has been teaching in the Faculty of Science of the University of Hong Kong, his research area principally involves chemical biology and medicinal chemistry since July 2009.

Mr. Li has been a member of The Hong Kong Young Academy of Sciences since January 2020. In 2017, Mr. Li was awarded a Croucher Senior Research Fellowship by the Croucher Foundation. In 2018, Mr. Li received the Outstanding Researcher Award from the University of Hong Kong.

As at the date of this announcement, Mr. Li holds 4,000 H shares of the Company.

When proposing the re-election of independent non-executive Directors, the Board has taken into account a number of factors pursuant to the diversity policy of the Board, including but not limited to gender, age, cultural and educational background, professional experience, skills, knowledge and industry and regional experience, to achieve the diversity of board members. The Board believes that the educational background, professional experience and cultural background of the independent non-executive Directors proposed to be re-elected contribute to the diversity of the Board.

Mr. Tang Jianxin, Mr. Zhao Dayao, Ms. Xiang Ling and Mr. Li Xuechen have confirmed their independence with reference to the factors set out in Rule 3.13 of the Listing Rules. The Company considers they are independent in accordance with the independence guidelines as set out in the Listing Rules of Hong Kong and they should be elected as the independent non-executive Directors of the third session of the Board of Directors.

Appendix II

Biographical details of the candidates for shareholder representative Supervisors and the employee representative Supervisors for the third session of the Board of Supervisors are set out below:

Mr. Tang Jinlong (唐金龍), aged 52, was appointed as a Supervisor of the Company on 6 June 2019 and has been the chairman of the Board of Supervisors since then. He joined the Company in July 2001 as deputy head (副部長) of the development department and served as the chairman of the Board of Supervisors since 6 June 2019. He was the head of development department from June 2003 to July 2004 and chief engineer from August 2004 to January 2008. Mr. Tang was the deputy general manager of Yidu HEC Biochemical Manufacturing Co., Ltd. (宜都東陽光生化製藥有限公司) from March 2006 to December 2010 and the factory manager of Hecheng factory (合成分廠廠 長) from January 2008 to December 2010. Mr. Tang has been the director of HEC Pharm Co., Ltd. (宜昌東陽光藥業 股份有限公司) since June 2015, the chairman and legal representative of YiChang HEC Biochemical API Co., Ltd. (宜昌東陽光化學原料藥有限公司) and the director of Yichang HEC Pharmaceutical Manufacturing Co., Ltd. (宜昌東陽光製藥有限公司) since February 2018. Mr. Tang is the standing committee member of 6th, 7th and 8th Yidu City Committee of the Chinese People's Political Consultative Conference (宜都市政協常委).

Mr. Tang has obtained a bachelor's degree in chemistry and pharmacy (化學製藥學士學位) in Wuhan Institute of Technology (武漢工程大學) in June 1990.

Mr. Luo Zhonghua (羅忠 華), aged 37, is currently the shareholder representative Supervisor of the Company. He joined Dongguan HEC Medicine Development and Research Co., Ltd. (東莞東陽光藥物研發有限公司) (a subsidiary of Shenzhen HEC Industrial Development Co., Ltd. (深圳市東陽光實業發展有限公司), the controlling shareholder of the Company, since June 2005 to engage in the research and development of APIs. He is currently the head of the generic drug API synthesis department and deputy head of the generic drug division in Dongguan HEC Medicine Development and Research Co., Ltd. (東莞東陽光藥物研發有限公司). He has been the legal representative and general manager of YiChang HEC Pharmaceutical Manufacturing Co., Ltd. (宜昌東陽光製藥有限公 司), a wholly-owned subsidiary of the Company since February 2018, and is responsible for the preparation of the production base of biochemical APIs.

Mr. Luo graduated with a bachelor's degree in pharmaceutical engineering from the Central South University in June 2005, a master's degree in pharmaceutical analysis from Sun Yat-sen University in 2015 and a doctoral degree in biology pharmaceuticals from South China University of Technology (華南理工大學) in August 2020.

As at the date of this announcement, Mr. Luo holds 66,800 H shares of the Company.

Mr. Wang Shengchao (王勝超), aged 38, is an employee representative Supervisor and the chief of the quality division of the Company. He joined the Company in May 2012 as a quality controller of the quality division, and served as the vice director of quality assurance of the quality division of the Company since April 2015. Mr. Wang had successively served as the quality assurance director and the deputy chief of the quality division of the Company from May 2016 to June 2019.

Prior to joining the Company, Mr. Wang worked as a researcher of new traditional Chinese medicines in Hebei Yiling Pharmaceutical Group (河北以嶺醫藥集團) from July 2008 to March 2010, a pharmaceutical analysis researcher in Pharmaron (Beijing) New Medicines Technology Co., Ltd. (康龍化成(北京)新藥技術有限公司) from April 2010 to May 2011, and an inspection engineer and inspection supervisor of the quality department in Lepu (Beijing) Medical Equipment Co., Ltd. (樂普(北京)醫療器械股份有限公司) from June 2011 to May 2012.

Mr. Wang graduated with a master's degree in science from Shenyang Pharmaceutical University (瀋陽藥科大學) in July 2008.

As at the date of this announcement, Mr. Wang holds 32,000 H shares of the Company.