Fundraising Overview - The company has received approval from the China Securities Regulatory Commission for its initial public offering (IPO), issuing 79,144,867 shares at a price of RMB 14.16 per share, raising a total of RMB 1,120.69 million, with a net amount of RMB 1,059.78 million after deducting issuance costs [1][2] - The funds have been fully received and verified by Tianzhi International Accounting Firm [1] Fund Management and Usage - The company has decided to lend up to RMB 58.5 million of the raised funds to its subsidiary, Xigao Institute (Xiamen) Electric Research Institute, for specific projects related to green electrical equipment technology research and enhancements in detection capabilities [1][2] - A special account for the raised funds has been opened at China Merchants Bank, with a tripartite supervision agreement signed among the company, the subsidiary, and the bank [2][3] Special Account Agreement - The special account is designated solely for the storage and use of funds related to the specified projects, and cannot be used for other purposes [3][4] - The agreement outlines that the funds can be placed in deposits or other reasonable savings methods, with specific reporting requirements to the sponsor [3][4] - The sponsor is responsible for supervising the use of the funds and must conduct regular checks on the account [4][5] Compliance and Reporting - The agreement mandates monthly account statements from the bank to the company and the sponsor, ensuring transparency in fund management [5] - Any withdrawals exceeding 20% of the net amount raised must be reported to the sponsor [5][6] - The agreement is governed by Chinese law and is effective upon signing, remaining valid until all funds are expended [6][7]

Group 1 - The company announced that it will hold the third meeting of the second board and the third meeting of the second supervisory board on August 19, 2025 [2] - The company approved the proposal to use part of the raised funds to provide loans to its subsidiary, Xigao Institute (Xiamen) Electric Research Institute Co., Ltd., totaling no more than 58.5 million yuan [2] - The funds will be used for the implementation of the "Key Technology Research Project for Green Electrical Equipment" and the "Renovation and Upgrade Project for New Demand Detection Capability of New Electrical Equipment Based on Power Systems" [2]