Fundraising Overview - The company, Dongguan Changlian New Materials Technology Co., Ltd., has successfully completed its initial public offering (IPO) of 16.11 million shares at a price of RMB 21.12 per share, raising a total of RMB 340.24 million. After deducting issuance costs of RMB 63.03 million, the net proceeds amount to RMB 277.21 million [1][2]. Fund Utilization and Project Adjustment - The company has restructured its fundraising projects, merging the original projects into a new project with an annual production capacity of 27,750 tons of environmentally friendly water-based printing paste. This adjustment aims to optimize capacity layout and resource allocation, enhancing the efficiency and return on investment of the raised funds [2][3]. Fund Management and Supervision - A new fundraising supervision agreement has been signed among the company, Dongguan Rural Commercial Bank, and Dongguan Securities as the sponsor. The agreement stipulates that the raised funds must be used exclusively for the designated projects and cannot be mixed with other funds [3][4]. Compliance and Reporting - The company is required to comply with relevant regulations regarding the management of raised funds, including regular audits and reporting to the stock exchange. The sponsor has the authority to conduct on-site inspections and inquiries to ensure proper management and usage of the funds [4][5]. Fund Security Measures - The agreement includes provisions to ensure that the funds are kept in secure, high-safety financial products, such as structured deposits and large-denomination certificates of deposit, with a maximum term of twelve months. The funds cannot be pledged or used for other purposes [5][6].

Summary of Key Points Core Viewpoint The company is adjusting part of its fundraising projects and changing the use of some raised funds to optimize resource allocation and enhance operational efficiency, which aligns with its strategic development goals and benefits all shareholders [21][22]. Group 1: Fundraising Overview - The company has received approval from the China Securities Regulatory Commission for its initial public offering, raising a total of RMB 340.24 million by issuing 16.11 million shares at RMB 21.12 each [1]. - The funds are stored in a dedicated account, and a tripartite supervision agreement has been signed with the sponsor and the supervising bank [2]. Group 2: Actual Use of Funds - As of May 23, 2025, the company has invested RMB 39.84 million in various projects, with a remaining balance of RMB 11.02 million in unutilized funds [3][5]. - The main projects include the construction of an environmentally friendly water-based printing glue production base and a headquarters and R&D center [3]. Group 3: Adjustments to Fundraising Projects - The company plans to relocate its R&D center to an existing production base to improve management and reduce operational costs while maintaining the same investment amount [6][7]. - The adjustment aims to enhance collaboration between production and R&D, supporting the development of high-performance silicon-based materials [6][7]. Group 4: Changes in Project Investment - The company is merging two projects into one, increasing the annual production capacity from 15,000 tons to 27,750 tons for environmentally friendly water-based printing glue [8][9]. - The total investment for the merged project is set at RMB 20.83 million, with a proposed fundraising amount that matches the previous projects' total [9][10]. Group 5: Economic Benefits and Feasibility - The merged project is expected to generate an average annual sales revenue of RMB 37.72 million, with a financial internal rate of return of 13.75% and a net present value of RMB 2.68 million [12][14]. - The project aligns with national policies promoting green and sustainable development, enhancing the company's competitive edge in the market [15][16]. Group 6: Approval and Compliance - The adjustments have been approved by both the board of directors and the supervisory board, ensuring compliance with relevant regulations and guidelines [21][22]. - The sponsor has confirmed that the adjustments will not harm the interests of the company or its minority shareholders and will not adversely affect current operations [22].