Zhonggong Education: The transfer of 184 million shares of the controlling shareholder through judicial auction has been completed.

Zhonggong Education announced that the company's controlling shareholder, Li Yongxin, held 183,886,641 shares of the company's stock were publicly auctioned on the Taobao online judicial auction platform by the Beijing First Intermediate People's Court on February 26-27, and the transfer registration has been completed recently. After the transfer, Li Yongxin and its concerted action persons collectively hold 823,682,389 shares, accounting for 13.36% of the total share capital. Due to the high ratio of pledge and freeze of its shares and heavy debt burden, if cannot repay the debt with other assets, the shares may be judicially disposed, affecting the stability of the company's control. This auction does not currently constitute a significant adverse impact.