The company will participate in the lithium iron phosphate project when the company plans to invest 12 million yuan in Youanshi Co., Ltd.

On December 3, the company announced that on the same day, the company signed the Cooperation Agreement for Lithium Iron Phosphate Project with Zhejiang Tuoanshi Technology Co., Ltd. (hereinafter referred to as "Topanshi Co., Ltd."), Taizhou Anshi Xinneng Technology Partnership (Limited Partnership) (hereinafter referred to as "Anshi Xinneng Partnership"), Wu Xuefeng, etc. Jointly invest in Jiangsu Youanshi Battery material Co., Ltd. (hereinafter referred to as "Youanshi Company").

According to the content of the agreement, the parties agreed to contribute 12 million yuan, accounting for 20% of the shares, while the company contributed 17.4 million yuan, accounting for 29% of the shares. Anshi Xinneng partnership contributed 30.6 million yuan (Wu Xuefeng transferred his 1% stake in Youanshi company to Amber Xinneng partnership), accounting for 51% of the shares; all capital contributions are made in currency. The registered capital of Youanshi company has increased from 15 million yuan to 60 million yuan.

The agreement also stipulates that Wu Xuefeng and Anshi Xinneng Partnership will be responsible for transferring all the book net assets of Changzhou Pugna Energy and Materials Co., Ltd. to Youanshi Company within two weeks after the signing of this agreement. Become a 100% wholly-owned subsidiary of Youanshi Co., Ltd. Wu Xuefeng promises that the intangible assets related to dry process mixed lithium iron phosphate owned by himself and Changzhou Pugena Energy Materials Co., Ltd. will be transferred to Youanshi Company free of charge.

According to the announcement, Youanshi company was established on October 20, 2021, and its business scope is battery manufacturing, battery sales, research and development of electronic special materials, electronic special materials manufacturing, electronic special materials sales, graphite and carbon products manufacturing, graphite and carbon products sales, etc. According to reports, Youanshi Company has the production technology of dry mixed lithium iron phosphate material, the product performance is good, the processing cost is lower than that of the same industry, and has strong competitiveness.

According to official data, low Light Co., Ltd. specializes in the research, development, production and sales of motors, fans, micro motors, drives and controllers, robots and automation equipment, pumps, and new energy vehicle parts. The company is optimistic about the development prospect of lithium iron phosphate market, and the purpose of investing in the project is to seize the investment opportunities for the great development of new energy, broaden the company's investment areas and profit channels, and obtain capital appreciation gains, the company said. Promote sustainable development and stable growth of the company.