Core Viewpoint - The company, Innovation New Materials Technology Co., Ltd., is undergoing a significant asset sale and capital raising process, which includes the acquisition of 100% equity in Shandong Innovation Metal Technology Co., Ltd. and the issuance of shares to specific investors [1][2]. Fundraising Overview - The company raised a total of approximately RMB 1.5 billion by issuing 332,594,235 shares at a price of RMB 4.51 per share, with all funds received by August 14, 2023 [2][3]. - The funds raised will be managed in a dedicated account, with agreements signed with several banks to ensure proper oversight [3][4]. Fund Utilization - As of August 15, 2025, the company has utilized RMB 583.48 million for the "Annual Production of 120,000 Tons of Lightweight High-Strength Aluminum Alloy Materials Project (Phase II)" and has a remaining balance of RMB 210.70 million in the fundraising account [6][7]. - The company has also approved the temporary use of up to RMB 470 million of idle funds to supplement working capital, with a commitment to return these funds to the dedicated account within a specified timeframe [7][10]. Reasons for Fund Surplus - The surplus in funds is attributed to effective cost control in equipment procurement and construction, interest income generated during the fund's storage period, and the timing of certain contractual payments [8][9]. - The company plans to use the surplus funds for daily operations and business development, enhancing the efficiency of fund utilization [9][10]. Impact of Fund Surplus on Company - The decision to permanently supplement working capital with surplus funds is expected to improve liquidity, reduce financial costs, and enhance operational efficiency without negatively impacting business operations [10][11]. - The company has adhered to regulatory requirements throughout the process, ensuring that the interests of shareholders are protected [11].