The company issued two announcements. One was for shareholders to voluntarily extend the lockdown period, and the other was a management equity incentive plan.

A number of shareholders announced that they promised not to reduce their shareholding for a specific period. The summary is as follows:

1. The 20 shareholders of the company issued a letter of commitment or statement to the company not to reduce their holdings through secondary market bidding transactions. Among them, the ban period for 13 shareholders was January 26, 2023, and the lockdown period was voluntarily extended for 12 months; the ban period for 7 shareholders was July 26, 2023, and the voluntary lockdown period was extended for 18 months.

2. During the lockdown period, shareholders can exit through bulk transactions, but there is a discount limit between 80% and 85%.

3. Shareholders who voluntarily extended the lockdown period held 75.79% of shares.

The announcement of the shareholding incentive plan for directors and management is summarized as follows:

1. The company will launch a management share incentive plan next year. The grant price of incentive shares is 20% of the company's closing price on the day the incentive shares are granted. The total number of incentive shares shall not exceed 25 million shares.

2. The initial capital for the purchase of shares under the plan is paid by the company, and the incentive target obtains incentive shares by investing its own capital.

3. The lockdown conditions for equity incentives are: (1) the date of publication of the company's annual results announcement with positive net profit and loss; if it is less than 12 months from the date of grant to the date of publication of the company's positive net profit and loss, then 12 months have passed since the grant date; (2) or 36 months from the date of grant.

reviews

1. At the time of the company's IPO, 8% of the shares were issued and immediately circulated. The proportion of shares unbanned on January 27 next year was 43.57%, and the proportion of shares unbanned on July 27 was 48.43%. In other words, out of 92% of the company's shares, 75.79% of the shares were locked in. A voluntary extension of the lockdown period by the company's shareholders will have a very positive effect on stock prices in the secondary market.

2. The company management's equity incentive plan is equivalent to carrying out a market repurchase operation, management's real money investment, and linked to positive profits. It is equivalent to making a gambling promise, which fully demonstrates the management's firm confidence in the company's future development.

As a leading company in the AI+ manufacturing industry, we continue to be optimistic about the company's rapid expansion and substantial improvement in profit levels over the next three years.

risks

16% of the company's external shareholders still lifted the ban on January 26, which may put some pressure on stock prices in the secondary market.