Securities code: 688506 Securities abbreviation: Baili Tianheng Announcement No.: 2025-021

Sichuan Baili Tianheng Pharmaceutical Co., Ltd

Announcement on the use of part of the idle raised funds to temporarily replenish liquidity

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

Sichuan Baili Tianheng Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company") on March 28, 2025

The 20th meeting of the 4th session of the board of directors and the 18th meeting of the 4th board of supervisors deliberated and approved the "Proposal on Using Part of the Idle Raised Funds to Temporarily Supplement Liquidity", and agreed that the company will use part of the idle raised funds to temporarily replenish the working capital, with a total amount of no more than RMB 100 million, which will be used for the research and development of innovative drugs and other production and operation activities related to the main business. The use period of the supplementary liquidity shall not exceed 12 months from the date of review and approval by the board of directors, and it will be returned to the special account for raising funds upon expiration.

The Board of Supervisors of the Company issued an opinion that clearly agreed, and the sponsor, CITIC Securities Co., Ltd. (hereinafter referred to as the "Sponsor"), issued a verification opinion with no objection. The relevant information is hereby announced as follows:

1. The specific situation of the idle funds raised in the previous time to temporarily replenish the working capital

The company held the twelfth meeting of the fourth board of directors and the fourth board of supervisors on December 23, 2023

The 11th meeting deliberated and approved the "Proposal on Using Part of the Idle Raised Funds to Temporarily Supplement Liquidity", and agreed to use part of the idle raised funds to temporarily supplement the working capital for the research and development of innovative drugs and other production and business activities related to the main business, with a total amount of no more than RMB 150 million. The use period of the supplementary liquidity shall not exceed 12 months from the date of approval by the Board of Directors, and will be returned to the raised funds at the end of the period

Special account. For details, please refer to the Company's disclosure on the website of the Shanghai Stock Exchange on December 26, 2023

(www.sse.com.cn) of the "Sichuan Baili Tianheng Pharmaceutical Co., Ltd. Announcement on Using Part of the Idle Raised Funds to Temporarily Replenish Liquidity" (Announcement No.: 2023-061).

As of November 28, 2024, the Company has used the above-mentioned idle fundraisings for the time being to replenish liquidity

All funds will be returned to the special account for raising funds. Details can be found in the company's respective November 28, 2024

Disclosed on the website of the Shanghai Stock Exchange (www.sse.com.cn) on the "Sichuan Baili Tianheng Pharmaceutical Co., Ltd

Limited to the company's announcement on the early return of the raised funds temporarily used to supplement liquidity (Announcement No.: 2024-063).

Second, the basic situation of the raised funds

According to the "Reply on Agreeing to the Registration of the Initial Public Offering of Shares of Sichuan Baili Tianheng Pharmaceutical Co., Ltd." (Zheng Jian Xu Xu [2022] No. 2969) issued by the China Securities Regulatory Commission, the company publicly issued 40.1 million RMB ordinary shares to the public, with a par value of RMB 1.00 per share, at an issue price of RMB 24.70 per share, raising a total of RMB 990,470,000.00, deducting the issuance cost of RMB 106. After RMB072,569.72 (excluding tax), the net proceeds amounted to RMB884,397,430.28. This time

The raised funds have been fully received on December 30, 2022, and Lixin Certified Public Accountants (Special General Partnership)

The funds raised in this issuance were verified, and the "Capital Verification Report" (Xinhuishi Bao Zi [2022] No. ZA16266) was issued.

In order to standardize the deposit, use and management of the raised funds, in accordance with the provisions of relevant laws, regulations and normative documents such as the Regulatory Guidelines for Listed Companies No. 2 - Regulatory Requirements for the Management and Use of Raised Funds by Listed Companies and the Self-Regulatory Guidelines for Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange No. 1 - Standardized Operation, the company has adopted a special account storage management for the raised funds, and signed the "Tripartite Supervision Agreement on Raised Funds" and the "Four-Party Supervision Agreement on Raised Funds" with the sponsor institutions and the bank supervising the special account for raising funds.

3. Investment projects with raised funds

On January 13, 2023, the company held the third meeting of the fourth board of directors and the second meeting of the fourth board of supervisors

The meeting deliberated and passed the "Proposal on Adjusting the Amount of Raised Funds to be Invested in the Investment Project of Raised Funds", and agreed that the company should combine the actual net amount of funds raised in the initial public offering of shares in combination with the actual investment projects of the raised funds

The amount of funds to be raised in the fund-raising project will be adjusted. The company was called on March 22, 2023

The fifth meeting of the fourth session of the Board of Directors and the fifth meeting of the fourth session of the Board of Supervisors were held on April 7, 2023

The second extraordinary general meeting of shareholders in 2023 was held, and the "Proposal on the Change of Sub-projects of Some of the Company's Fund-raising and Investment Projects" was deliberated and approved, and it was agreed that the Company would change some of the clinical trial sub-projects in the "Antibody Drug Clinical Research Project", one of the fund-raising investment projects, according to the progress of clinical trials of innovative drugs and biological drugs, and the funding arrangement. After the above adjustments, the amount of funds to be invested in the company's raised funds investment projects is shown in the following table:

Unit: 10,000 yuan

Preface Project Name Total Investment Proposed Investment Before Adjustment Proposed Investment After Adjustment

No. Raised funds

1 Antibody drug industrialization construction project 31,375.00 31,375.00 30,187.48

Preface Project Name Total Investment Proposed Investment Before Adjustment Proposed Investment After Adjustment

No. Raised funds

2 Antibody drug clinical research project 110,852.55 110,852.55 58,252.26

2.1 Innovative antibodies in the field of tumor therapy 108,005.88 108,005.88 58,252.26

Drug R&D projects

2.2 Innovative antibodies in the field of new crown treatment 2,846.67 2,846.67 -

Drug R&D projects

Total 142,227.55 142,227.55 88,439.74

As of November 2023, the above-mentioned "Antibody Drug Industrialization Construction Project" has been completed and will be fundraised

The funds raised will be used to raise and invest in new sub-projects and permanently replenish working capital. For details, please refer to the "Announcement of Sichuan Baili Tianheng Pharmaceutical Co., Ltd. on the Completion of Part of the Company's Fund-raising Projects and the Use of the Surplus Raised Funds for New Sub-projects of Fund-raising Projects and Permanent Replenishment of Liquidity" (Announcement No.: 2023-054) disclosed by the Company on the website of the Shanghai Stock Exchange (www.sse.com.cn) on December 12, 2023.

As of December 31, 2024, the balance of the special account for raising funds is 102.8322 million yuan, which will be specifically raised

For details, please refer to the Company's disclosure on the website of the Shanghai Stock Exchange on March 29, 2025

(www.sse.com.cn) of the "Special Report on the Deposit and Use of Raised Funds of Sichuan Baili Tianheng Pharmaceutical Co., Ltd. in 2024" (Announcement No.: 2025-018).

Fourth, the use of part of the idle raised funds to temporarily supplement the liquidity plan

With the continuous advancement of the company's innovative drug research and development progress, combined with the company's production, operation and R&D needs, in order to improve the efficiency of the use of raised funds, reduce operating costs, safeguard the interests of the company and shareholders, and meet the company's operating needs for working capital. On the premise of ensuring that the construction progress of the investment project of the raised funds will not be affected, the use of the raised funds will not be changed, and the normal investment plan of the raised funds will not be affected, the company intends to use no more than 10,000 yuan of temporarily idle raised funds to supplement liquidity, and the use period shall not exceed 12 months from the date of deliberation and approval of the board of directors, and will be returned to the special account for raised funds when it expires.

The use of part of the idle raised funds to temporarily replenish the working capital is limited to the research and development of innovative drugs and other business activities related to the main business, and will not be used for the placement of new shares, subscription, or for the trading of stocks and their derivatives, convertible corporate bonds, etc., through direct or indirect arrangements, and there is no change or disguised change in the use of the raised funds. The company will return the part of the raised funds temporarily used to supplement liquidity in a timely manner to ensure that the normal implementation of the investment projects of the raised funds will not be affected.

5. Procedures for deliberation and decision-making

On March 28, 2025, the company held the 20th meeting of the 4th board of directors and the 4th board of supervisors

The 18th meeting deliberated and passed the "Proposal on Using Part of the Idle Raised Funds to Temporarily Supplement Liquidity", and agreed to use no more than 100000000 yuan of temporarily idle raised funds to supplement liquidity, and the use period shall not exceed 12 months from the date of deliberation and approval of the board of directors. In accordance with the relevant provisions of laws, regulations, normative documents such as the Self-Regulatory Guidelines for Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange No. 1 - Standardized Operation, as well as the relevant provisions of the Company's Management System for Raised Funds, this matter is within the scope of the approval authority of the Board of Directors of the Company and does not need to be submitted to the General Meeting of Shareholders of the Company for deliberation, and the approval procedures performed by the Company comply with the relevant laws and regulations and the relevant regulatory requirements of the regulatory authorities.

6. Explanation of special opinions

(1) Opinions of the Board of Supervisors

The Board of Supervisors believes that the company intends to use idle raised funds to temporarily replenish liquidity and fulfills the necessary procedures, in line with the relevant provisions of relevant laws, regulations and normative documents such as the Listing Rules of the Science and Technology Innovation Board of the Shanghai Stock Exchange, the Regulatory Guidelines for Listed Companies No. 2 - Regulatory Requirements for the Management and Use of Raised Funds by Listed Companies, and the Self-Regulatory Guidelines for Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange No. 1 - Standardized Operation. The company will use part of the idle raised funds to temporarily supplement the working capital, fully considering the company's business development plan, is conducive to improving the efficiency of the use of raised funds, reducing the company's financial costs, is necessary and reasonable, there is no change or disguised change in the use of raised funds and damage to the interests of shareholders, in line with the interests of the company and all shareholders. In summary, the Board of Supervisors of the Company agreed that the Company shall use no more than 10,000 yuan of temporarily idle raised funds to supplement working capital, and the use period shall not exceed 12 months from the date of deliberation and approval of the 20th meeting of the fourth board of directors.

(2) The verification opinions of the sponsor institution

After verification, the sponsor believes that the company's use of part of the idle raised funds to temporarily replenish liquidity has been deliberated and approved by the 20th meeting of the 4th board of directors and the 18th meeting of the 4th board of supervisors, and the necessary approval procedures have been fulfilled. This matter is in accordance with the relevant provisions of laws, regulations, normative documents such as the Rules for the Listing of Stocks on the Science and Technology Innovation Board of the Shanghai Stock Exchange, the Self-Regulatory Guidelines for Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange No. 1 - Standardized Operation, and the Company's Management System for Raised Funds.

To sum up, the sponsor has no objection to the company's use of part of the idle raised funds to temporarily replenish liquidity.

7. Attachment to the online announcement

"CITIC Securities Co., Ltd. on the use of Sichuan Baili Tianheng Pharmaceutical Co., Ltd

Verification opinions on the temporary replenishment of liquidity by raising funds》

The announcement is hereby made.

Board of Directors of Sichuan Baili Tianheng Pharmaceutical Co., Ltd

March 29, 2025