Stock code: 688690 Stock abbreviation: Navitas Technology Announcement No.: 2024-081

Suzhou Navitas Technology Co., Ltd

Announcement on the proposed establishment of subsidiaries and the purchase of land use rights

The board of directors and all directors of the company guarantee that there is no false record, misleading statement or material omission in the content of this announcement, and assume legal responsibility for the authenticity, accuracy and completeness of its content in accordance with the law.

Important Content Notes:

Suzhou Navitas Technology Co., Ltd. (hereinafter referred to as the "Company") plans to set up a wholly-owned subsidiary in Nantong Rudongyangkou Port Economic Development Zone, and use self-raised funds to purchase land use rights in the name of the wholly-owned subsidiary, with a total area of about 120 acres.

The proposed foreign investment in the establishment of subsidiaries and the purchase of land use rights does not involve related party transactions, nor does it constitute a major asset restructuring.

Special Risk Warning: The proposed purchase of industrial land use rights needs to be carried out through public bidding, and there are uncertainties about whether the land use rights can be bidd, the final transaction price and acquisition time of the land use rights.

1. Overview of outbound investment and transactions

(1) Basic information

In order to promote the company's medium and long-term strategic development plan, effectively implement the industrial layout, meet the needs of business development, and improve market competitiveness, after in-depth communication between the company and the Management Committee of Nantong Rudongyangkou Port Economic Development Zone, the company will set up a wholly-owned subsidiary in Rudongyangkou Port Economic Development Zone in the near future - Nantong Navitas New Materials Co., Ltd., with a registered capital of RMB 100 million, and its business scope is bio-based material manufacturing; Manufacture of specialty chemical products (excluding hazardous chemicals); sales of special chemical products (excluding hazardous chemicals); technical services, technology development, technical consultation, technology exchange, technology transfer, technology promotion; technology import and export; import and export of goods; research and development of new material technology; sales of synthetic materials; Manufacture of synthetic materials (excluding hazardous chemicals) (the name and business scope are subject to the review opinions of the competent department for industry and commerce).

The company intends to use self-raised funds in the name of Nantong Navitas New Materials Co., Ltd. through bidding, auction and listing or

Other legal ways to purchase the land use right of the target plot located in the chemical industry park of Yangkou Port Lingang Industrial Zone, with a land area of about 120 acres.

On December 17, 2024, the Company held the third meeting of the Strategy Committee of the third board of directors in 2024.

On December 20, 2024, the fourth meeting of the third board of directors was held, and the "Proposed Establishment of a Sub-Father

The company agreed to set up a wholly-owned subsidiary in Nantong Rudong, and purchase the land use right through self-raising funds in the name of the wholly-owned subsidiary for capacity construction.

According to internal calculations, it is estimated that the transfer price of the land use right of the target plot and the establishment of a wholly-owned subsidiary are within the approval authority of the board of directors, and the above matters do not need to be submitted to the general meeting of shareholders of the company for deliberation. The proposed foreign investment in the establishment of subsidiaries and the purchase of land use rights does not involve related party transactions, nor does it constitute a major asset restructuring as stipulated in the Administrative Measures for the Material Asset Restructuring of Listed Companies and the Special Provisions on the Material Asset Restructuring of Listed Companies on the Science and Technology Innovation Board.

(2) Overview of production capacity projects

On August 20, 2021, the company held the third meeting of the second board of directors to deliberate and approve the "About

Changshu Na Microbial Technology Co., Ltd., a subsidiary, intends to purchase land use rights to build a research and development workshop, service platform and supporting facilities for chromatography media for biomedical separation and purification (hereinafter referred to as the "capacity construction project").

On December 25, 2021, the company held the fifth meeting of the second board of directors to deliberate and approve the "About

Proposal to establish a subsidiary and purchase land use rights", the company intends to establish Zhejiang Navitas Technology Co., Ltd. (hereinafter referred to as "Zhejiang Navitas"), and use its own funds in the name of Zhejiang Navitas to purchase the land use rights located on the north side of Zhongshan Road and the east side of Huigang Road in Dushangang Economic Development Zone, Zhejiang Province through bidding, auction and listing or other legal methods.

On April 8, 2022, the company held the eighth meeting of the second board of directors and deliberated and passed the "About

Proposal to change the implementation subject and implementation location of the investment project", the implementation subject of the capacity construction project was changed from a wholly-owned subsidiary, Changshu Na Microbial Technology Co., Ltd., to a wholly-owned subsidiary, Zhejiang Navitas, and the implementation location was changed from Changshu New Material Industrial Park, Jiangsu Province to Dushan Port Economic Development Zone, Zhejiang Province.

On June 29, 2022, the company held the 11th meeting of the second board of directors to deliberate and approve the "About

Zhejiang Navitas plans to build an annual output of 600 tons of biochromatography media and 2 tons of chiral drug separation and purification projects on the above-mentioned land to be purchased with self-raised funds

Eye. In 2022, Zhejiang Navitas obtained the land use right and real estate property right certificate located on the north side of Zhongshan Road and the east side of Huigang Road, Dushangang District, Pinghu City (Zhejiang (2022) Pinghu Real Estate No. 0029169).

In order to promote the company's medium and long-term strategic development plan, effectively implement the industrial layout, meet the needs of business development, and improve market competitiveness, the company has decided to adjust the construction site of the above-mentioned capacity construction project to Nantong Rudong after careful research, and the newly established Nantong Navitas New Materials Co., Ltd. will implement the capacity construction project.

Zhejiang Navitas negotiated with the relevant competent departments of Pinghu City to sign the relevant agreement on land withdrawal and handle the relevant land withdrawal procedures.

Second, the basic information of the subject of the transaction

(1) The basic information of the subject matter

It is planned to purchase a total area of about 120 acres of land use rights in the chemical industry park of Lingang Industrial Zone of Yangkou Port, which is used for industrial land with a term of 30 years and a land use right transfer price of about 21.6 million yuan.

The specific location, land area and transaction amount of the land are subject to the final actual transfer documents.

The ownership of the subject matter of this transaction is clear, there is no mortgage, pledge or other third-party rights, there is no major dispute, litigation or arbitration involving relevant assets, and there are no judicial measures such as seizure and freezing.

(2) The source of funds for the transaction

The source of funds for the purchase of land use rights is self-raised.

3. The impact of this transaction on the company

The company plans to invest in the establishment of a wholly-owned subsidiary in Nantong to carry out capacity construction projects, which is in line with the company's medium and long-term strategic development plan. The company has introduced a wealth of R&D application projects in the main business of biological drug separation and purification, and with the gradual approval of new drug projects by customers, chromatography packing materials and chromatography media as process consumables will generate greater demand for production and use; The company attaches great importance to and continues to increase R&D investment, layout product R&D for key major needs, and the industrial transformation of new high-performance microsphere material products needs to lay out production capacity in advance.

The company plans to invest and set up a wholly-owned subsidiary in Nantong to be responsible for the specific development and construction of the plot and the later operation and management. The construction of a new production base in Nantong is conducive to closer joint management with the company's existing Changshu production base, and is conducive to promoting industrial transformation and cooperation with the Jiangsu Yangkou Port Chemical Pilot Base in which the company participates in investment.

The purchase of land use rights will not affect the normal development of the company's existing main business, and will not be right

The company's financial condition and operating results have a significant impact, and there is no harm to the interests of the listed company and all shareholders.

4. Risk Warning

The proposed purchase of industrial land use rights needs to be carried out through public bidding, and there are uncertainties as to whether the land use rights can be bid, the final transaction price of the land use rights and the time of acquisition. If the implementation of the project has not yet started due to changes in the implementation conditions such as relevant national or local policy adjustments and project approvals, the promotion and implementation of the project may be delayed, changed, suspended or terminated. Investors are advised to invest rationally and pay attention to investment risks.

The announcement is hereby made.

Board of Directors of Suzhou Navitas Technology Co., Ltd

December 21, 2024