Shanghai Hengruixin Enterprise Management Partnership (Limited Partnership) entered into an agreement to acquire Shanghai Tellhow Intelligent Building Electric Co., Ltd from Tellhow Sci-Tech Co., Ltd. (SHSE:600590) for approximately CNY 130 million on April 27, 2023. For the year ended December 31, 2022, If it is deemed that the party has breached the contract, the non-defaulting party has the right to terminate this agreement, and the defaulting party shall pay liquidated damages to the non-defaulting party in accordance with 10% of the transfer price of this acquisition of equity. Shanghai Tellhow Intelligent Building Electric Co.

reported total assets of CNY 68.3 million, total common equity of CNY 68.1 million, operating income of CNY 1.1 million and net loss of CNY 3 million. The transaction has been approved by board of Tellhow Sci-Tech Co., Ltd. The 2022 Annual General Shareholders' meeting of Tellhow Sci-Tech Co., Ltd. approved the transfer at a meeting held on May 26, 2023.