Hua Hong Company: Approval obtained from the Shanghai State-owned Assets Supervision and Administration Commission for issuing shares to purchase assets and raise matching funds.

Huahong Company announced that the company plans to purchase 97.4988% of the equity of Shanghai Huali Microelectronics Co., Ltd. held by Shanghai Huahong Limited Company, Shanghai Integrated Circuit Industry Investment Fund Co., Ltd., National Integrated Circuit Industry Investment Fund Phase II Co., Ltd., and Shanghai Guotou Xian Dao Integrated Circuit Private Equity Investment Fund Partnership Enterprise through the issuance of shares, and to raise matching funds. Recently, the company received the preliminary approval of the Shanghai Municipal State-owned Assets Supervision and Administration Commission for the company's proposed transaction. This transaction still needs to be reviewed and approved by the Shanghai Stock Exchange and registered by the China Securities Regulatory Commission before it can be officially implemented.