About CH INNOVATION Company

China Innovation Investment Co., Ltd. (“China Innovation”, Hong Kong stock code: 1217) was incorporated in the Cayman Islands on February 7, 2002, and listed on the main board of the Hong Kong Stock Exchange on August 28, 2002. The stock code is: 1217. It is one of the few investment companies in Hong Kong, China focusing on the military sector. China Innovation is an investment holding company under Chapter 21 of the Hong Kong Stock Exchange Main Board Securities Listing Rules (“Listing Rules”). It mainly invests in high-quality listed and unlisted civil-military technology enterprises located in Hong Kong and mainland China, and aims to obtain medium-term capital appreciation during the asset securitization process of the invested enterprises, and uses this as the main business strategy and source of revenue. Investment goals With years of experience in the mainland market and extensive network, the company has achieved substantial project breakthroughs in the four new industries of “new energy,” “new light sources,” “new materials,” and “new media,” as well as military and civilian dual-use fields by investing in military energy storage batteries, new light source products, ecological equipment materials, and energy-saving media terminals in recent years, respectively, with energy saving and emission reduction as development goals. In terms of “new energy”, the Company invests in Taiyo Creation Co., Ltd. (“Taiyo Creation”). With patented military aviation power storage technology as the core, Taiyo Corporation formulates a “production generation, R&D generation, and pre-research generation” development strategy, and develops and produces integrated solar photoelectric systems. The system is characterized by high capacity, full sealing, and maintenance-free, and is widely used in military equipment, civilian vehicles and buildings. In terms of “new light sources”, the company invested in Aesthetic Vision Co., Ltd. (“Aesthetic Vision”). Aesthetic Vision uses LED lighting as its main product, has LED ergonomics technology, and is characterized by LED light source, appropriate luminous flux, achieving any color temperature, healthy spectrum, and in line with ergonomics. In terms of “new materials”, the company invests in Lianguan Future Co., Ltd. (“Lianguan Future”). Lianguan Future specializes in the research and development of energy-saving ecological wall materials, and is a pioneer in the new energy-saving ecological board industry in the Chinese market. In terms of “new media”, the Company invests in Blue Angel (Hong Kong) Limited (“Blue Angel”). The main force is to produce and assemble solar terminal products through technologies such as solar energy and LED, creating a complete four-new industrial chain and constructing a one-stop layout with synergetic effects. Currently, the company is also actively seeking more investment opportunities in new technologies such as solar energy and LED, and is striving to build a complete four new energy saving and emission reduction industry chain to create a green and low-carbon lifestyle. investment strategy The company has adopted the following investment policies: (a) The Company's primary investment objective is to seek medium term capital appreciation by investing in listed and unlisted companies mainly located in Hong Kong and Mainland China (in other words, if the Company invests, at least 70% of the Company's investments will be carried out in Hong Kong, China and Mainland China). Second, if the director or investment manager believes that investing in other countries can provide the company with considerable returns, the company may also act in this way; (b) It usually invests in equity-related securities and debt instruments of listed and unlisted companies engaged in various industries including (but not limited to) information technology, telecommunications, manufacturing, services, property, infrastructure, life science and environment, etc., so as to balance the risks of the Company in different industries, thereby minimizing the impact on the Company when the performance of any individual industry declines; (c) It is common to invest in companies with strong roots in various industries and the board believes have long-term growth prospects. The company is particularly interested in finding businesses or entities with potential for profitable growth, excellent management, cutting-edge technological knowledge and strong R&D capabilities, and where management is committed to the company's long-term growth. The Company may also invest in companies or other entities that the director or investment manager considers special or in a recovery period. The Board believes that current market conditions provide a variety of unique and attractive investment opportunities; (d) Where possible, the board of directors or investment managers will seek investment projects that are complementary to the Company's investments and other invested companies, and where such companies can mutually benefit from cooperation; (e) Investments held by the Company are aimed at increasing capital in the medium to long term, and are expected to receive interest and dividend income. However, when the board of directors or investment managers deem from time to time that it is in the best interest of the Company to realize investment projects, or when the terms of such monetization are particularly beneficial to the Company, the directors or investment managers will from time to time realize such investments; (f) The Company may make loans for investment financing, provided that the total amount of the loan amount plus the Company's existing loans shall not exceed 50% of the latest published net asset value on the date of the loan, and the Company may mortgage or pledge its assets to secure the loan proceeds; (g) The Company may enter into forward interest rate agreements, futures contracts relating to interest rates and bonds, interest rate swaps and buy and issue (sell) interest rate put or subscribe options, and put or subscribe options for interest rate futures. The Company will only trade options and futures on approved stock exchanges and solely for risk hedging purposes. The Company has no intention of buying or selling (selling) derivatives; (h) The Company will not trade commodities, commodity contracts or precious metals; however, the Company may trade stock market indices and securities futures contracts secured by commodities or precious metals; (i) Before finding suitable investment projects, the Company may protect its cash assets by depositing cash assets as bank deposits in any currency, holding bonds or treasury notes issued by the US Government or the Hong Kong Government or their respective authorized agencies, or securities or other financial instruments issued by other governments or international official agencies and valued in any currency. Investors should note that although the Company plans to invest the capital in accordance with the above investment goals and policies as much as possible, due to market and other investment considerations, it may take some time before the Company can fully invest the capital.