On June 19th, Gelunhui reported that Medikai (688079.SH) intends to introduce strategic investors through its wholly-owned subsidiary Zhejiang Medikai Optical Semiconductor Co., Ltd. (hereinafter referred to as "optical semiconductor company" or "target company"). The Strategic Investor Service Trade and Innovative Development Guidance Fund (Limited Partnership) (hereinafter referred to as "Service Trade Fund", "Investor" or "Capital Increaser") intends to increase the capital of the optical semiconductor by RMB 200 million in cash based on a pre-investment valuation of RMB 1.8 billion. After the capital increase is completed, the Service Trade Fund will hold a 10% stake in the optical semiconductor company. The increased funds will be mainly used for the company's main business and other purposes agreed upon by the Service Trade Fund. The price of this capital increase may not be directly or indirectly transferred to Medikai or any other entity or related party under its actual control for any purpose.

The company waives its priority investment rights for this capital increase. After the investor completes this capital increase, the company will continue to be the controlling shareholder of the target company and still have the actual control over it.