Gelonghui July 29th 丨Fuka Konka A(000016.SZ) announced that the company submitted application documents for the non-public offering of A-shares to the China Securities Regulatory Commission on May 14, 2019, received the “China Securities Regulatory Commission Administrative License Application Acceptance Form” (No. 191131) issued by the China Securities Regulatory Commission on May 20, 2019, and received the “China Securities Regulatory Commission Administrative License Project Review 1 Feedback Notice” (No. 191131) issued by the China Securities Regulatory Commission on June 20, 2019. The company and relevant intermediaries carefully checked and implemented the issues in the feedback, and responded to and disclosed the matters involved in accordance with the requirements of the feedback as scheduled.

Ruihua Certified Public Accountants (Special General Partnership) (“Ruihua Firm”), the auditing agency for the company's current non-public offering project, has now been investigated by the China Securities Regulatory Commission for suspected violations of securities related laws and regulations in the audit business of other projects, and the case has not yet been finalized. Since the above matters are subject to suspension of review as stipulated in the “Administrative License Implementation Procedure Regulations of the China Securities Regulatory Commission”, the company recently received the China Securities Regulatory Commission's “Notice of Suspension of Examination of Administrative License Applications” (No. 191131) from the China Securities Regulatory Commission.

The suspension of the review of this non-public offering project will not have a significant adverse impact on the company's production and operation activities. The company will complete the relevant procedures as soon as required and apply to the China Securities Regulatory Commission to resume the review of this non-public offering project.