/China Plastics Co., Ltd.: Announcement of initial public offering of shares and listing on GEM

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China Plastics Co., Ltd.: Announcement of initial public offering of shares and listing on GEM

Shenzhen Stock Exchange

2026/09/09

Guangdong Zhongsu New Materials Co., Ltd.

Announcement of initial public offering of shares and listing on GEM

Sponsor (lead underwriter): Guosen Securities Co., Ltd.

Special reminder

Guangdong China Plastics New Materials Co., Ltd. (hereinafter referred to as "China Plastics", the "Issuer" or the "Company") is based on the "Securities Issuance and Underwriting Management Measures" (CSRC Order [No. 228]) (hereinafter referred to as the "Management Measures") and the "Initial Public Offering Stock Registration Management Measures" (CSRC Order [No. 205]) promulgated by the China Securities Regulatory Commission (hereinafter referred to as the "CSRC") No.]), the "Implementation Rules for the Initial Public Offering of Securities and Underwriting Business of the Shenzhen Stock Exchange (revised in 2026)" (Shenzhen Stock Exchange [2026] No. 552) (hereinafter referred to as the "Implementation Rules"), the "Implementation Rules for the Offline Issuance of Stocks in the Shenzhen Market (Revised in 2025)" (Shenzhen Stock Exchange [2025]) issued by the Shenzhen Stock Exchange (hereinafter referred to as the "Shenzhen Stock Exchange") No. 224) (hereinafter referred to as "Offline Issuance Implementation Rules"), "Shenzhen Stock Exchange GEM Investor Suitability Management Implementation Measures (2020 Revision)" (SZSE [2020] No. 343) and Shenzhen Market Initial Public Offering Online Issuance Implementation Rules (SZSE [2018] 279 No.) (hereinafter referred to as the "Online Issuance Implementation Rules"), the "Initial Public Offering of Securities Underwriting Business Rules" promulgated by the Securities Association of China (China Securities Co., Ltd. [2023] 18 No.), "Offline Investor Management Rules for Initial Public Offerings of Securities" (China Securities Xiefa [2025] No. 57) and "Guidelines for Classification Evaluation and Management of Offline Investors for Initial Public Offerings of Securities" (China Securities Xiefa [2024] No. 277), as well as Shenzhen Stock Exchange's stock issuance and listing rules and the latest operational guidelines and other relevant regulations to organize the implementation of initial public offerings of stocks and listing on the GEM.

The sponsor (lead underwriter) of this issuance is Guosen Securities Co., Ltd. (hereinafter referred to as the "sponsor (lead underwriter)" or "Guosen Securities").

This preliminary inquiry and offline issuance are conducted through the Shenzhen Stock Exchange's offline issuance electronic platform (hereinafter referred to as the "offline issuance electronic platform") and the China Securities Depository and Clearing Co., Ltd. Shenzhen Branch (hereinafter referred to as the "China Securities Clearing Shenzhen Branch") registration and settlement platform. Offline investors are requested to carefully read this announcement and the "Offline Issuance Implementation Rules" and other relevant regulations. This online issuance will be conducted through the Shenzhen Stock Exchange trading system. Online investors are requested to carefully read this announcement and the "Online Issuance Implementation Rules" and other relevant regulations.

The issuance price of 55.28 yuan per share corresponds to the issuer's diluted static price-earnings ratio of 22.20 times for the issuer's net profit attributable to shareholders of the parent company in 2025, whichever is lower before and after deducting non-recurring gains and losses, which is lower than the average static price-earnings ratio of the same industry in the past month released by China Securities Index Co., Ltd. on September 4, 2026 (T-4), which is 28.53 times, which is lower than comparable companies in the same industry. The average static price-to-earnings ratio (after excluding extreme values) corresponding to the net profit attributable to shareholders of the parent company in 2025, whichever is lower before and after deducting non-recurring gains and losses, is 43.15 times. However, there is still the risk of losses to investors due to future declines in the issuer's stock price. The issuer and sponsor (lead underwriter) remind investors to pay attention to investment risks, prudently judge the rationality of issuance pricing, and make rational investment decisions.

Investors are kindly requested to pay attention to the issuance process, online and offline subscription and payment, and the handling of abandoned shares. The specific contents are as follows:

This issuance will be conducted through a combination of targeted placement to investors participating in the strategic placement (hereinafter referred to as the "strategic placement"), offline placement through inquiry to qualified investors (hereinafter referred to as the "offline issuance"), and online pricing issuance to public investors holding non-restricted A shares and the market value of unrestricted depositary receipts in the Shenzhen market (hereinafter referred to as the "online issuance").
After the preliminary inquiry is completed, the issuer and the sponsor (lead underwriter) will, in accordance with the elimination rules stipulated in the "Preliminary Inquiry and Promotion Announcement of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Preliminary Inquiry and Promotion Announcement"), and after eliminating the preliminary inquiry results that do not meet the required investor quotations, the proposed subscription price will be higher than 55.72 yuan/share (excluding 55.72 yuan/share) All placement objects with a proposed subscription price of 55.72 yuan/share and a subscription quantity of less than 3 million shares (excluding 3 million shares) will be eliminated; all placement objects with a proposed subscription price of 55.72 yuan/share, a subscription quantity equal to 3 million shares, and a subscription time later than 2026-09-04 14:43:34:543 All placement objects were eliminated; the proposed subscription price is 55.72 yuan/share, the subscription quantity is equal to 3 million shares, and the subscription time is 2026-09-04 14:43:34:543. Among the placement objects, 17 placement objects were eliminated from back to front according to the order of allotment objects automatically generated by the Shenzhen Stock Exchange’s offline issuance electronic platform. The total number of proposed subscriptions excluded from the above is 981.4 million shares, accounting for 2.9944% of the total number of 32,774.1 million shares proposed to be subscribed after excluding invalid quotes in this preliminary inquiry. The excluded parts are not allowed to participate in offline and online subscriptions. For specific elimination conditions, please see the section marked "High Price Elimination" in the "Preliminary Inquiry and Quotation Situation" in the appendix.
The issuer and the sponsor (lead underwriter) negotiated and determined the issuance price of 55.28 yuan/share based on the preliminary inquiry results, taking into account the remaining quotations and the number of proposed subscriptions, effective subscription multiples, the issuer’s fundamentals and its industry, market conditions, valuation levels of listed companies in the same industry, fund-raising needs and underwriting risks, etc., and determined that the issuance price is 55.28 yuan/share. No cumulative bidding inquiry will be conducted for offline issuance.

Investors should make online and offline subscriptions at this price on September 10, 2026 (T day). There is no need to pay subscription funds when subscribing. The offline subscription date for this offline issuance and the online subscription date are both September 10, 2026 (T day). Among them, the offline subscription time is 9:30-15:00, and the online subscription time is 9:15-11:30, 13:00-

15:00.

The issuance price negotiated between the issuer and the sponsor (lead underwriter) is 55.28 yuan per share. The issuance price shall not exceed the median and weighted average of offline investor quotations after excluding the highest quotation, as well as the securities investment funds established through public offerings after excluding the highest quotation (hereinafter referred to as the "public offering fund"), the National Social Security Fund (hereinafter referred to as the "social security fund"), and the basic pension insurance fund (hereinafter referred to as the "pension fund"). "), enterprise annuity funds and occupational annuity funds (hereinafter referred to as "annuity funds"), insurance funds that comply with the "Insurance Fund Utilization Management Measures" and other regulations (hereinafter referred to as "insurance funds") and qualified foreign investors' fund quotations median and weighted average (hereinafter referred to as the "four values"), whichever is lower, so the relevant subsidiaries of the sponsor do not need to participate in this strategic placement.

Based on the final issuance price, the investors participating in the strategic placement are the issuer's senior managers and core employees participating in the special asset management plan established for this strategic placement, large enterprises or their affiliated enterprises that have a strategic partnership or long-term cooperation vision with the issuer's business operations. According to the final issuance price, the final strategic placement number of Guosen Asset Management Zhongsu Co., Ltd.’s employees participating in the GEM strategic placement No. 1 collective asset management plan was 1.23329 million shares, accounting for approximately 10.00% of the issuance amount. The final number of strategic placement shares for other investors participating in the strategic placement was 1,899,415 shares, accounting for approximately 15.40% of the issuance.

The initial strategic allotment quantity of this issuance is 3,206,554 shares, accounting for approximately 26.00% of the number of this issuance. The final number of strategic placements was 3,132,705 shares, accounting for approximately 25.40% of the issuance. The difference between the initial strategic allotment quantity and the final strategic allotment quantity, 73,849 shares, will be transferred back to offline issuance.

Lock-up period arrangement: Among the stocks issued this time, the stocks issued online have no circulation restrictions and lock-up period arrangements. They can be circulated from the date of listing on the Shenzhen Stock Exchange.

The offline issuance part adopts a proportional sales restriction method. Offline investors should commit to 10% (rounded up) of the number of shares allocated to them. The restriction period is 6 months from the date of the issuer's initial public offering and listing. That is to say, among the stocks allocated to each placement target, 90% of the shares have an unlimited selling period and can be circulated from the date of listing and trading of the shares on the Shenzhen Stock Exchange; 10% of the shares have a restricted selling period of 6 months, and the lock-up period starts from the date of listing and trading of the shares on the Shenzhen Stock Exchange.

When offline investors participate in the preliminary inquiry quotation and offline subscription, they do not need to fill in the lock-up period arrangement for the placement objects they manage. Once the quotation is made, they are deemed to have accepted the offline lock-up period arrangement disclosed in this announcement.

In terms of strategic placement, the issuer's senior managers and core employees who participated in the strategic placement and established a special asset management plan will have a 12-month lock-up period for the shares allocated to them, and other investors who participated in the strategic placement will have a 18-month lock-up period for the shares allocated to them. The lock-up period will start from the date the shares of this public offering are listed on the Shenzhen Stock Exchange. After the expiration of the sales restriction period, investors participating in the strategic placement shall apply the relevant regulations of the China Securities Regulatory Commission and the Shenzhen Stock Exchange on share reductions to the reduction of the allocated shares.

Online investors should independently express their intention to subscribe and are not allowed to entrust a securities company to subscribe for new shares on their behalf.
After the online and offline subscriptions are completed, the issuer and sponsor (lead underwriter) will decide whether to activate the clawback mechanism on September 10, 2026 (T-day) based on the online subscription situation and adjust the scale of offline and online issuances. The activation of the clawback mechanism will be determined based on the initial effective subscription multiple of online investors.
Offline investors should pay new share subscription funds in full and in a timely manner according to the finalized issuance price and preliminary allotment quantity before 16:00 on September 14, 2026 (T+2) in accordance with the "Announcement on the Preliminary Allotment Results of the Offline Issuance of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Announcement on the Preliminary Allotment Results of the Offline Issuance").

The subscription funds should be received in full within the stipulated time. If the subscription funds are not paid in full within the stipulated time or as required, all new shares allocated to the allotment object will be invalid. If the above situation occurs when multiple new stocks are issued on the same day, all the allotment objects will be invalid. If different allotment objects share bank accounts, if the subscription funds are insufficient, all new shares allocated to the allotment objects with the same bank account will be invalid. Offline investors who are allocated multiple new shares on the same day should pay separately for each new share and fill in notes in accordance with the regulations.

After winning the lottery when subscribing for new shares, online investors should perform their fund settlement obligations in accordance with the "Announcement on the Online Lottery Result of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Announcement on the Online Lottery Result") to ensure that their capital account has sufficient new share subscription funds on September 14, 2026 (T+2). The insufficient part will be deemed to have given up the subscription, and the resulting consequences and related legal liabilities will be borne by the investors themselves. The transfer of investor funds must comply with the relevant regulations of the securities company where the investor is located. The shares that offline and online investors give up their subscription are underwritten by the sponsor (lead underwriter).

When the total number of shares subscribed by offline and online investors is less than 70% of the number of public offerings after deducting the final strategic placement amount, the issuer and sponsor (lead underwriter) will suspend the issuance of new shares and disclose information on the reasons for the suspension of the issuance and subsequent arrangements.
If offline investors who provide valid quotations fail to participate in the subscription or do not subscribe in full, and offline investors who receive preliminary allotment fail to pay the subscription fee in full and on time, they will be deemed to have breached the contract and shall bear liability for breach of contract. The sponsor (lead underwriter) will report the breach of contract to the Securities Association of China for record. The number of violations for projects related to various market sectors of the stock exchange by offline investors or allotment objects managed by them shall be combined and calculated. While the allotment object is included in the restricted list, the allotment object shall not participate in the offline inquiry and allotment business of projects related to various market sectors of the stock exchange. During the period when offline investors are included in the restricted list, no allotment objects managed by them are allowed to participate in the offline price inquiry and allotment business of projects related to various market sectors of the stock exchange.

If an online investor fails to pay in full after being successful three times within 12 consecutive months, he or she shall not participate in the online subscription of new shares, depositary receipts, convertible corporate bonds, and exchangeable corporate bonds within 6 months (calculated as 180 natural days, including the next day) from the day after the settlement participant's latest declaration of abandonment of subscription. The number of abandonment of subscriptions shall be calculated based on the number of times investors actually gave up subscription of new shares, depositary receipts, convertible corporate bonds and exchangeable corporate bonds.

The issuer and sponsor (lead underwriter) solemnly remind investors to pay attention to investment risks, invest rationally, carefully read the "Special Announcement on Investment Risks of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Special Announcement on Investment Risks") announced on September 9, 2026 (T-1), fully understand the market risks, and prudently participate in this new share issuance.

Valuation and investment risk warning

The issuance price is 55.28 yuan/share. Investors are asked to judge the rationality of this issuance pricing based on the following conditions.

(1) According to the "Guidelines for the Industrial Statistical Classification of Listed Companies of the China Association of Public Companies" (2023), the industry to which China Plastics belongs is the "C29 Rubber and Plastic Products Industry". As of September 4, 2026 (T-4), China Securities Index Co., Ltd. has released the average static price-to-earnings ratio of the C29 rubber and plastic products industry in the past month of 28.53 times. Investors should refer to it when making decisions.

As of September 4, 2026 (T-4), the price-earnings ratio levels of listed companies in the same industry disclosed in the "Prospectus for the Initial Public Offering of Stocks and Listing on the GEM by Guangdong Zhongsu New Materials Co., Ltd." (hereinafter referred to as the "Prospectus") are as follows:

T-4 daily stocks deducted in 2025 deducted in 2025 Corresponding static market Corresponding static market Securities code Securities abbreviation Closing price of non-before EPS Non-after EPS Profit ratio - non-deduction before profit ratio - non-deduction after

(yuan/share) (yuan/share) (yuan/share) (2025) (2025) 600143.SH Kingfa Technology 13.69 0.4301 0.3985 31.83 34.35 688219.SH Huitong Shares 10.56 0.3550 0.2979 29.75 35.45 301003.SZ Jiangsu Boyun 60.55 1.0505 1.0152 57.64 59.64 300995.SZ Qide New Materials 27.22 0.2131 0.1994 127.73 136.51 874508.NQ Tianjian New Materials - 1.7081 1.6710 - -

Average (after excluding outliers) 39.74 43.15

Data source: Wind information, data as of September 4, 2026 (T-4) (GMT+8)

Note 1: EPS before/after non-recurring gains and losses in 2025 = Net profit attributable to the parent before/after non-recurring gains and losses in 2025/Total equity on T-4 day;

Note 2: When calculating the average price-to-earnings ratio, abnormal price-to-earnings ratios such as Chide New Materials and Tianjian New Materials are excluded;

Note 3: Any difference in the mantissa in the price-to-earnings ratio calculation is caused by rounding.

Compared with its main competitors in the same industry, the company has certain advantages in the following aspects:

The company's business focuses on the field of modified engineering plastics with high performance requirements. Through continuous technological innovation, product innovation and process innovation, it has built a strong competitive advantage

The company's business focuses on the research and development, production and sales of modified engineering plastics. Compared with general plastics, modified engineering plastics are processed and improved through filling, blending, reinforcement and other methods. They can meet higher requirements in terms of mechanical properties, weather resistance, corrosion resistance, heat resistance, etc., and can achieve special functions such as flame retardancy, conductivity, and adjustable dielectric. In the course of more than ten years of development, the company has built a strong competitive advantage through continuous technological innovation, product innovation and process innovation.

At the technical level, the company has mastered the complete and systematic core technologies in the production process of modified engineering plastics, formed a number of its own core technologies represented by laser direct structuring technology (LDS), nano injection molding technology (NMT), and high temperature resistant flame retardant technology, and continuously enriched various core technology reserves. At the product level, the company has developed laser direct forming LDS materials, special engineering materials for nano-injection molding, ultra-high temperature resistant special nylon materials, flame retardant reinforced materials, low temperature resistant materials, low loss dielectric materials, chemical resistant materials, and special surface effect materials to meet the needs of high-strength, lightweight, low signal loss, flame retardant and explosion-proof, and color personalization in consumer electronics, energy storage, new energy and other fields to meet the needs of high-performance materials in different downstream fields. At the process level, the company has built a complete innovation system from basic processes to special processes. On the basis of basic processes such as blending, metering, extrusion, and granulation, it has achieved precise control of process parameters through customized equipment. It has overcome common industry problems such as substrate heat sensitivity, dispersion and compatibility of high-filler additives, and formed a characteristic process with unique advantages.

The company has outstanding scientific research and innovation capabilities, rich R&D qualifications and achievements

The company is a national-level specialized and special new key "little giant" enterprise, a national-level high-tech enterprise, a single champion enterprise in the manufacturing industry of Guangdong Province, a doctoral workstation in Guangdong Province, and an engineering technology research center in Guangdong Province. It has participated in the national-level special scientific research project "'Twelfth Five-Year Plan National Science and Technology Support Plan Project - Development and Industrialization of Key Technologies for the Preparation of High-Performance Polyamide Engineering Plastics", and independently took the lead in undertaking "Key scientific issues in the preparation process of semi-aromatic high-temperature resistant PA10T/11" and "PC for large deep cavity parts". Provincial and ministerial level scientific research projects such as "R&D of decorative materials and molding processes within the base mold". As of December 31, 2025, the company had 95 invention patents.

The application areas of the company’s products continue to expand and are recognized by many well-known downstream customers.

The field of consumer electronics has rich application scenarios and products continue to be rapidly iteratively updated. The company's products are widely used in mobile phones, tablets, laptops and other products. With the rise of new products such as wearable devices, it provides customized modified engineering materials for TWS smart headphones, smart watches, smart bracelets, VR/AR terminals and other products. At the same time, with the development of new energy vehicles, energy storage, and smart home industries in recent years, the company has developed a series of lightweight, highly flame-retardant, and highly protective products, which are used in automotive interior and exterior decoration, car audio and video systems, new energy "three power" systems, outdoor energy storage, and sweeping robot equipment. Relying on its R&D technology and customer resource advantages accumulated over many years, the company closely tracks industry development trends, develops materials around the business needs of leading enterprises in the downstream field, and builds a diversified product matrix. Through cross-innovation of new materials and new business formats, the company continues to expand product application areas and help downstream industries transform into high-end, intelligent, and green.

The company's products have been recognized by many well-known companies at home and abroad, and its direct customers include major domestic component, module and precision structural parts manufacturing companies, such as BYD, FIZH, Huaqin Technology, Wingtech Communications, Longqi Technology, Changying Precision, Goertek, AAC Technology, Lingyi Intelligent Manufacturing, Luxshare Precision, Jierong Technology, Shuobed, etc. In addition, the company has entered the qualified supplier resource pool of multiple terminal brand customers, including Samsung, Huawei, Xiaomi, OPPO, Transsion, BOSE, Lenovo, Xiaocai Tiancai, Anker Innovation, Zhenghao Technology, BYD, Jiangling and other industry leading companies.

To sum up, the company continues to increase investment in R&D and has formed rich scientific research results. Relying on technological innovation, product innovation and process innovation, it promotes the high-level application of scientific and technological achievements in the fields of consumer electronics, energy storage, automobiles, home appliances and other fields. It has been recognized by many well-known downstream customers and promoted the development of new quality productivity.

The issuance price of 55.28 yuan/share corresponds to the diluted static price-earnings ratio of the issuer's net profit attributable to shareholders of the parent company in 2025, whichever is lower before and after deducting non-recurring profits and losses, is 22.20 times, which is lower than the industry average static price-earnings ratio of 28.53 for the latest month released by China Securities Index Co., Ltd. on September 4, 2026 (T-4). times, which is 43.15 times lower than the average static price-to-earnings ratio (after excluding extreme values) corresponding to the net profit attributable to shareholders of the parent company before and after deducting non-recurring gains and losses of comparable companies in the same industry in 2025, whichever is lower (after excluding extreme values). However, there is still the risk of losses to investors due to future declines in the issuer's stock price. The issuer and sponsor (lead underwriter) remind investors to pay attention to investment risks, prudently judge the rationality of issuance pricing, and make rational investment decisions.

(2) According to the issuance price determined for this issuance, the number of investors who submitted valid quotations for this offline issuance is 319, and the number of managed placement objects is 10,482, accounting for 94.37% of the total number of all placement objects after excluding invalid quotations; the corresponding total number of valid proposed subscriptions is 30,919.6 million shares, accounting for 10% of the total subscription amount after excluding invalid quotations. 94.34%, and the corresponding effective subscription multiple is 4,784.32 times the initial offline issuance scale after the strategic placement callback and before the online and offline callback.

(3) Investors are reminded of the differences between the issuance price and the quotations quoted by offline investors. For details of the quotations quoted by offline investors, please refer to the "Preliminary Inquiry and Quotations" attached to this announcement.

(4) The required amount of raised funds disclosed in the "Prospectus" is 645.492 million yuan. The issuance price of 55.28 yuan per share corresponds to a financing scale of 681.7627 million yuan. After deducting the issuance expenses of approximately 86.6803 million yuan (excluding value-added tax), the net amount of funds raised is expected to be approximately 59,508.24 yuan. Ten thousand yuan (if there is any difference in the last digit, it is due to rounding), which is lower than the aforementioned amount of raised funds. Investors are advised to pay attention to the risk that the funds raised cannot meet the use needs.

(5) This issuance follows market-based pricing principles. During the preliminary inquiry stage, offline institutional investors quote prices based on true subscription intentions. The issuer and the sponsor (lead underwriter) negotiate to determine the issuance price based on the preliminary inquiry results and comprehensive consideration of the remaining quotations and the number of proposed subscriptions, effective subscription multiples, the issuer’s fundamentals and its industry, market conditions, valuation levels of listed companies in the same industry, fund-raising needs, underwriting risks and other factors.

The issuance price will not exceed the lower of the four values. Any investor who participates in the subscription will be deemed to have accepted the issuance price. If there is any objection to the issuance pricing method and price, it is recommended not to participate in this issuance.

(6) Investors should pay full attention to the risk factors involved in market-oriented pricing, be aware that the stock may fall below the issue price after listing, effectively increase risk awareness, strengthen the concept of value investment, and avoid blind speculation. Regulators, issuers and sponsors (lead underwriters) cannot guarantee that the stock will not fall below the issue price after listing.

New stock investment carries relatively large market risks. Investors need to fully understand the risks of new stock investment and the GEM market, carefully read the risks disclosed in the issuer's "Prospectus", fully consider the risk factors, and prudently participate in this new stock issuance.

According to the preliminary inquiry results and through negotiation between the issuer and the sponsor (lead underwriter), 12.3329 million new shares will be issued this time. There will be no transfer of old shares in this issuance. Based on the issuance price of 55.28 yuan per share, the issuer is expected to raise a total of 681.7627 million yuan. After deducting the estimated issuance expenses of approximately 86.6803 million yuan (excluding value-added tax), the net amount of funds is expected to be approximately 595.0824 million yuan (if there is a difference in the last digit, it is due to rounding). This issuance carries the risk that the substantial increase in net assets due to the raised funds will have a significant impact on the issuer's production and operation model, business management and risk control capabilities, financial status, profitability and long-term interests of shareholders.
If the funds raised by the issuer are used improperly or the business cannot grow simultaneously in the short term, it will have an adverse impact on the issuer's profitability or there will be a risk of a significant decline in the issuer's return on net assets, which will result in a reduction in the issuer's valuation level and a decline in stock prices, thereby bringing the risk of investment losses to investors.

Important tips

China Plastics’ application for the initial public issuance of RMB ordinary shares (A shares) and listing on the GEM (hereinafter referred to as the “issuance”) has been reviewed and approved by the Listing Review Committee of the Shenzhen Stock Exchange, and has been approved for registration by the China Securities Regulatory Commission (CSRC Permit [2026] No. 1631). The issuer's stock abbreviation is "China Plastics" and its stock code is "301686". This code is also used for the preliminary inquiry, online subscription and offline subscription of this issuance. According to the China Securities Regulatory Commission's "Guidelines for the Statistical Classification of Listed Companies' Industry by the China Association of Listed Companies" (2023), the industry to which China Plastics belongs is the "C29 Rubber and Plastic Products Industry".
The number of shares in this public offering is 12,332,900 shares, accounting for 25.00% of the company’s total share capital after this issuance. All of them are new shares, and the company’s shareholders will not conduct a public sale of shares. After this issuance, the company's total share capital will be 49,331,495 shares.

The initial strategic allotment quantity of this issuance is 3,206,554 shares, accounting for approximately 26.00% of the number of this issuance. The issuance price of this issuance does not exceed the lower of the median and weighted average of offline investor quotations after excluding the highest quotation, and the median and weighted average of quotations from public funds, social security funds, pensions, annuity funds, insurance funds and qualified foreign investor funds after excluding the highest quotation. Therefore, the relevant subsidiaries of the sponsor do not need to participate in the strategic placement of this issuance.

Based on the final issuance price, the investors participating in the strategic placement are the issuer's senior managers and core employees participating in the special asset management plan established for this strategic placement, large enterprises or their affiliated enterprises that have a strategic partnership or long-term cooperation vision with the issuer's business operations. According to the final issuance price, the final number of Guosen Asset Management’s employees participating in the GEM strategic placement No. 1 collective asset management plan was 1.23329 million shares, accounting for approximately 10.00% of the issuance. The final number of strategic placement shares for other investors participating in the strategic placement was 1,899,415 shares, accounting for approximately 15.40% of the issuance.

The final number of strategically placed shares in this issuance is 3,132,705 shares, accounting for approximately 25.40% of the number in this issuance. The difference between the initial strategic allotment quantity and the final strategic allotment quantity, 73,849 shares, will be transferred back to offline issuance.

After the strategic allotment callback, before the online and offline callback mechanism was activated, the initial offline issuance quantity was 6,462,695 shares, accounting for approximately 70.25% of the issuance quantity after deducting the strategic allotment quantity; the online initial issuance quantity was 2,737,500 shares, accounting for approximately 29.75% of the current issuance quantity after deducting the strategic allotment quantity. The final total number of offline and offline issuances is 9.200195 shares. The final number of online and offline issuances will be determined based on the online and offline callback conditions.

The preliminary inquiry for this issuance has been completed on September 4, 2026 (T-4). The issuer and the sponsor (lead underwriter) negotiated and determined the issuance price of 55.28 yuan per share based on the preliminary inquiry results, and comprehensively considering the remaining quotations and the number of proposed subscriptions, effective subscription multiples, the issuer's fundamentals and its industry, market conditions, valuation levels of listed companies in the same industry, fund-raising needs and underwriting risks. No cumulative bidding will be conducted offline. The price-to-earnings ratio corresponding to this price is:

(1) 16.65 times (earnings per share are calculated based on the net profit attributable to shareholders of the parent company after deducting non-recurring gains and losses in 2025 audited by an accounting firm in accordance with Chinese accounting standards divided by the total share capital before this issuance);

(2) 16.12 times (earnings per share are calculated based on the 2025 net profit attributable to shareholders of the parent company before non-recurring gains and losses audited by an accounting firm in accordance with Chinese accounting standards divided by the total share capital before this issuance);

(3) 22.20 times (earnings per share are calculated based on the net profit attributable to shareholders of the parent company after deducting non-recurring gains and losses in 2025 audited by an accounting firm in accordance with Chinese accounting standards divided by the total share capital after this issuance);

(4) 21.50 times (earnings per share are calculated based on the 2025 net profit attributable to shareholders of the parent company before non-recurring gains and losses audited by an accounting firm in accordance with Chinese accounting standards divided by the total share capital after this issuance).

The subscription date for this offline issuance and the online subscription date are both September 10, 2026 (T day). Any placement target can only choose to subscribe via offline issuance or online issuance.

(1) Offline subscription

The offline subscription time for this issuance is: 9:30-15:00 on September 10, 2026 (T-day).

Allotment objects managed by offline investors who submit valid quotations during the preliminary inquiry period can and must participate in offline subscriptions. Offline investors should enter the subscription order information for all placement objects participating in the subscription through the offline issuance electronic platform, including the subscription price, subscription quantity and other information specified by the sponsor (lead underwriter) in the "Issue Announcement". The subscription price is the issuance price of 55.28 yuan/share. The subscription quantity should be equal to the "intended subscription quantity" corresponding to the valid quotation provided in the preliminary inquiry. When participating in offline subscription, investors do not need to pay subscription funds. After being allocated, they will pay the subscription fee on September 14, 2026 (T+2).

All placement objects that participate in the preliminary inquiry and quotation, regardless of whether they are "valid quotations", are not allowed to participate in this online subscription. If they participate in both offline and online subscriptions, the online subscription part will be invalid.

Placement objects shall abide by relevant laws and regulations and the relevant provisions of the China Securities Regulatory Commission, Shenzhen Stock Exchange and the Securities Association of China in terms of subscription and shareholding, and shall bear corresponding legal responsibilities on their own. The information related to the placement objects managed by offline investors (including the full name of the placement objects, securities account name (Shenzhen), securities account number (Shenzhen) and bank collection and payment account, etc.) shall be subject to the information registered with the Securities Association of China. Any consequences caused by inconsistency between the placement object information and the registration information shall be borne by the offline investors.

The sponsor (lead underwriter) will further verify whether there are any prohibited circumstances among the validly quoted investors and managed placement objects before the placement. Investors should cooperate accordingly (including but not limited to providing company articles of association and other industrial and commercial registration information) as required by the sponsor (lead underwriter). materials, arrange interviews with actual controllers, truthfully provide a list of major social relationships of relevant natural persons, cooperate with other related relationship investigations, etc.), if the sponsor refuses to cooperate or the materials provided are insufficient to exclude the existence of the above prohibited circumstances, the sponsor (lead underwriter) will refuse to allocate it.

(2) Online subscription

The online subscription time for this issuance is: 9:15-11:30 and 13:00-15:00 on September 10, 2026 (T-day).

Investors who opened a securities account at CSDC Shenzhen Branch before September 10, 2026 (T-2), and held an average of the market value of non-restricted A-shares or non-restricted depositary receipts in the Shenzhen market during the 20 trading days (including T-2) before September 8, 2026 (T-2) (Laws, Regulations and Issuance of the People's Republic of China) (Except those prohibited by other regulatory requirements that persons must comply with) can subscribe for the stocks issued online through the trading system, and natural persons must have opened trading authority for the GEM market in accordance with the "Implementation Measures for the Management of Investor Suitability of Shenzhen Stock Exchange GEM (2020 Revision)" and other regulations (except those prohibited by national laws and regulations). Online investors should independently express their subscription intentions and may not entrust securities companies to subscribe for new shares on their behalf.

Investors determine their online subscription quota based on the market value of non-restricted A-shares and non-restricted depositary receipts held by them in the Shenzhen market (hereinafter referred to as the "market value"), which is calculated based on the investor's average daily holding market value in the 20 trading days (including T-2) before September 8, 2026 (T-2). If the investor's relevant securities account has been opened for less than 20 trading days, the average daily holding market value will be calculated based on 20 trading days. If an investor holds multiple securities accounts, the market values of the multiple securities accounts will be combined and calculated. The market value of an investor's relevant securities account holdings is calculated based on the product of the number of shares included in the market value calculation range in the investor's securities account and the corresponding closing price. The online subscription quota is determined based on the market value held by investors. Only investors with a market value of more than 10,000 yuan (including 10,000 yuan) can participate in the subscription of new shares. One subscription unit can be purchased for every 5,000 yuan in market value. The portion less than 5,000 yuan is not included in the subscription quota. Each subscription unit is 500 shares, and the subscription quantity should be 500 shares or an integer multiple thereof, but the maximum subscription amount shall not exceed one thousandth of the number of shares issued online this time, that is, it shall not exceed 2,500 shares, and shall not exceed the upper limit of the subscription amount calculated based on market value. If the subscription amount exceeds the online subscription limit calculated based on market value, China Clearing Shenzhen Branch will invalidate the excess part. For new stock subscription orders whose subscription quantity exceeds the subscription limit, the Shenzhen Stock Exchange trading system will regard the order as invalid and automatically cancel it.

During the subscription period, investors fill in the order form to buy stocks at the determined issuance price. Once declared, the order cannot be canceled.

Investors who participate in the subscription of online public offerings of stocks can only use one securities account. If the same investor uses multiple securities accounts to participate in the subscription of the same new stock, or if the investor uses the same securities account to participate in the subscription of the same new stock multiple times, the investor's first subscription will be considered a valid subscription, and the remaining subscriptions will be invalid. If an investor holds multiple securities accounts, the market values of the multiple securities accounts will be combined and calculated. The principle for confirming that multiple securities accounts are held by the same investor is that the "account holder name" and "valid identity document number" in the securities account registration materials are the same. Securities account registration information is subject to the end of T-2.

Offline investor payment

All offline valid allotment objects that have obtained preliminary allotment in the "Announcement on Preliminary Allotment Results of Offline Issuance" must pay the subscription funds in full between 8:30-16:00 on September 14, 2026 (T+2 day), and the subscription funds should be received before 16:00 on September 14, 2026 (T+2 day).

The sponsor (lead underwriter) will disclose the unpaid amounts allocated to online and offline investors and the underwriting ratio of the sponsor (lead underwriter) in the "Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Issue Result Announcement") published on September 16, 2026 (T+4). The sponsor (lead underwriter) will list and disclose the offline investors who have received preliminary allotment but have not paid in full.

If offline investors who provide valid quotations fail to participate in the subscription or do not subscribe in full, and offline investors who receive preliminary allotment fail to pay the subscription fee in full and in a timely manner, they will be deemed to have breached the contract and shall bear liability for breach of contract. The sponsor (lead underwriter) will report the breach of contract to the Securities Association of China for record. The number of violations for projects related to various market sectors of the stock exchange by offline investors or allotment objects managed by them shall be combined and calculated. While the allotment object is included in the restricted list, the allotment object shall not participate in the offline inquiry and allotment business of projects related to various market sectors of the stock exchange. During the period when offline investors are included in the restricted list, no allotment objects managed by them are allowed to participate in the offline price inquiry and allotment business of projects related to various market sectors of the stock exchange.

Online investor payment

After investors subscribe for new shares and win the lottery, they should perform their payment obligations in accordance with the "Online Lottery Winning Results Announcement" announced on September 14, 2026 (T+2). When making payments, online investors should abide by the relevant regulations of the securities company where the investor is located. At the end of September 14, 2026 (T+2), successful investors should ensure that their capital accounts have sufficient new share subscription funds. The insufficient amount will be deemed to have given up the subscription. The consequences and related legal liabilities arising therefrom will be borne by the investors themselves.

The offline and online subscription for this issuance ends at 15:00 on September 10, 2026 (T-day). After the subscription is completed, the issuer and sponsor (lead underwriter) will decide whether to activate the clawback mechanism on September 10, 2026 (T-day) based on the online subscription situation, and adjust the scale of offline and online issuance. For detailed arrangements regarding the clawback mechanism, please refer to "II. (5) Clawback Mechanism" of this announcement.
For details on the possible suspension of this issuance, please refer to "7. Suspension of issuance".
This announcement only briefly explains the stock issuance matters and does not constitute investment advice. Investors who want to know the details of this issuance should carefully read the information disclosed on September 2, 2026 (T-6) on the website designated by the China Securities Regulatory Commission (Cninfo.com, website www.cninfo.com.cn; China Securities Network, website www.cs.com.cn; China Securities Network, website www.cnstock.com; Securities Times Network, website www.stcn.com; Securities Daily Network, website (www.zqrb.cn; Economic Reference Network, www.jjckb.cn; China Financial News Network, www.financialnews.com.cn; China Daily Network, www.chinadaily.com.cn), especially the "Major Matters Tips" and "Risk Factors" chapters, fully understand the issuer's various risk factors, independently judge its operating conditions and investment value, and make prudent investment decisions. The issuer's operating conditions may change due to political, economic, industrial and operational management levels, and any resulting investment risks shall be borne by investors themselves.
The listing matters of this issuance of stocks will be announced separately. Other matters related to this issuance will be announced in a timely manner on the cninfo.com (website: www.cninfo.com.cn), so investors are advised to pay attention.

Definition

In this announcement, unless otherwise stated, the following abbreviations have the following meanings:

Issuer/China Plastics refers to Guangdong China Plastics New Materials Co., Ltd.

China Securities Regulatory Commission refers to the China Securities Regulatory Commission

Shenzhen Stock Exchange refers to Shenzhen Stock Exchange

China Securities Depository and Clearing Co., Ltd. Shenzhen Branch refers to China Securities Depository and Clearing Co., Ltd. Shenzhen Branch

Sponsor (lead underwriter),

Refers to Guosen Securities Co., Ltd.

Guosen Securities, lead underwriter

Refers to the initial public offering of Guangdong Zhongsu New Materials Co., Ltd.

The issuance of 12,332,900 RMB ordinary shares (A shares) and the proposed listing on the GEM

Refers to the issuance of RMB ordinary shares (A shares) at a determined price through the offline issuance electronic platform of the Shenzhen Stock Exchange to allotment objects in this issuance (if offline issuance is started

The callback mechanism is activated, and the offline issuance quantity is the actual offline issuance quantity after the callback)

Refers to the online issuance through the Shenzhen Stock Exchange trading system to the public holding non-restricted A-shares or non-restricted depositary receipts with a total market value of more than 10,000 yuan in the Shenzhen market.

The behavior of investors pricing the issuance of RMB ordinary shares (A shares) (if the clawback mechanism is activated, the online issuance quantity will be the actual online issuance quantity after the clawback) refers to the investors who have signed a strategic placement agreement with the issuer to participate in the strategic placement in accordance with the relevant provisions of strategic placement.

investors

Refers to investors who meet the requirements of the "Preliminary Inquiry and Promotion Announcement" and can participate in this online and offline investment

Investors placing inquiries

Refers to the investors participating in this online subscription being the average daily holdings of non-restricted A shares in the Shenzhen market, excluding those participating in offline inquiry, subscription, payment and placement.

Investors whose market value of shares or non-restricted depositary receipts meet the requirements of the "Implementation Rules for Online Issuance"

Refers to the part of the quotation that the offline investor's subscription price in the initial inquiry is not lower than the finalized effective quotation price and has not been eliminated, and that meets other conditions determined and announced in advance by the sponsor (lead underwriter) and the issuer.

Refers to subscriptions that comply with the relevant subscription regulations in this announcement, including following the prescribed effective subscription procedures, the subscription price being consistent with the issuance price, and the subscription quantity complying with relevant regulations, etc.

Refers to the date when offline investors participating in this offline subscription make subscriptions based on their effective subscription quantity on T day and the date on which subscription stocks are issued for online pricing, that is, September 10, 2026 (T day)

Refers to the "Initial Public Offering of Stocks of Guangdong Zhongsu New Materials Co., Ltd. and the Issuance Announcement"

Announcement on Listing and Issuance on GEM", i.e. this announcement

Yuan means RMB

1. Preliminary inquiry results and pricing

(1) Preliminary inquiry and verification

September 4, 2026 (T-4) is the preliminary inquiry date for this issuance. As of 15:00 on September 4, 2026 (T-4), the sponsor (lead underwriter) received preliminary inquiry and quotation information for 11,153 placement objects managed by 356 offline investors through the Shenzhen Stock Exchange’s offline issuance electronic platform, with a quotation range of 2 0.63 yuan/share-64.87 yuan/share, the corresponding total number of shares to be subscribed is 32,911.3 million shares, and the corresponding subscription multiple is 5,092.50 times the initial offline issuance quantity after the strategic allotment callback and before the online and offline callback mechanism is activated. Please refer to the appendix "Preliminary Inquiry and Quotations" for details of the quotations of all placement objects.

(2) Eliminate invalid quotations

After verification by Beijing Deheng (Shenzhen) Law Firm and the sponsor (lead underwriter), 2 placement objects managed by 2 offline investors failed to submit relevant qualification verification documents as required by the "Preliminary Inquiry and Promotion Announcement"; 44 placement objects managed by 21 investors were related parties prohibited from participating in the placement under the "Administrative Measures". The quotations submitted by the above-mentioned relevant placement objects have been determined to be invalid quotations and have been eliminated. A total of 46 placement objects managed by 22 investors have been eliminated (of which the quotations of some of the placement objects managed by 21 investors are valid, so 1 investor has actually been eliminated), and the total number of proposed subscriptions to be eliminated is 137.2 million shares. For a specific list, please see the section marked “Invalid Quotation” in the attached table “Preliminary Inquiry and Quotation Situation”.

After excluding the above-mentioned invalid subscription quotations, a total of 11,107 placement objects managed by 355 offline investors meet the participation conditions of offline investors stipulated in the "Preliminary Inquiry and Promotion Announcement". The quotation range is 20.63 yuan/share-64.87 yuan/share, and the total number of proposed subscriptions is 32,774.1 million shares.

(3) Excluding the highest bid price

Elimination situation

Based on the inquiry results after excluding the above-mentioned invalid quotes, the issuer and the sponsor (lead underwriter) quote the quotations for allotment objects belonging to all eligible offline investors according to the subscription price from high to low, the same subscription price according to the proposed subscription quantity of the placement objects from small to large, and the same subscription price and the same proposed subscription quantity according to the declaration time (the declaration time is based on the Shenzhen Stock Exchange website The records of the offline issuance electronic platform shall prevail) from late to early, with the same proposed subscription price, the same proposed subscription quantity, and the same subscription time, according to the order of allotment objects automatically generated by the Shenzhen Stock Exchange’s offline issuance electronic platform. The quotations of the allotment objects with the highest quotations will be eliminated. The eliminated proposed subscription amount does not exceed the total amount of all proposed subscriptions by all eligible offline investors. 3%. When the lowest price among the highest subscription prices to be eliminated is the same as the determined issuance price, subscriptions at that price will no longer be eliminated. The excluded parts are not allowed to participate in offline subscription.

Among them, all placement objects with a proposed subscription price higher than 55.72 yuan/share (excluding 55.72 yuan/share) will be eliminated; all placement objects with a proposed subscription price of 55.72 yuan/share and a subscription quantity of less than 3 million shares (excluding 3 million shares) will be eliminated; all placement objects with a proposed subscription price of 55.72 yuan/share, a subscription quantity equal to 3 million shares, and a subscription time later than All placement objects at 2026-09-04 14:43:34:543 are eliminated; the proposed subscription price is 55.72 yuan/share, the subscription quantity is equal to 3 million shares, and the placement objects with the same subscription time at 2026-09-04 14:43:34:543 are eliminated from back to front according to the order of placement objects automatically generated by the Shenzhen Stock Exchange’s offline issuance electronic platform. 17 placement objects. The total number of proposed subscriptions excluded above is 981.4 million shares, accounting for 2.9944% of the total number of 32,774.1 million shares proposed to be subscribed after excluding invalid quotes in this preliminary inquiry. The excluded parts are not allowed to participate in offline and online subscriptions.

For specific elimination conditions, please see the section marked "High Price Elimination" in the "Preliminary Inquiry and Quotation Situation" in the appendix.

A total of 332 placement objects managed by 27 investors were excluded from the above (the quotations of some of the placement objects managed by 3 investors were valid, so 24 investors were actually eliminated).

Overall quotation after elimination

After excluding invalid quotations and the highest quotations, there were 331 investors participating in the preliminary inquiry and 10,775 placement objects, all of which met the participation conditions for offline investors stipulated in the "Preliminary Inquiry and Promotion Announcement". After excluding invalid quotations and the highest quotation, the total number of remaining quotations for subscription in this issuance was 31,792.7 million shares, and the overall subscription multiple was 4,919.42 times.

After excluding invalid quotations and the highest quotations, please refer to the appendix "Preliminary Inquiry and Quotations" for detailed quotations from offline investors, including investor names, securities accounts, names of allotment objects, subscription prices and corresponding intended subscription quantities.

After excluding invalid quotations and the highest quotation, the remaining quotation information of offline investors is as follows:

Quotation median Quotation weighted average type

(yuan/share) (yuan/share)

All offline investors 55.5500 55.4933

Public funds, social security funds, pensions, annuity funds,

55.5500 55.5276

Insurance funds and qualified foreign investor funds

Public funds, social security funds, pensions 55.5400 55.5389

Public funds, social security funds, pensions, annuity funds,

55.5500 55.5275

Insurance funds

In addition to public funds, social security funds, pension funds, and annuity funds

Other than funds, insurance funds and qualified foreign investor funds 55.5600 55.4397

Other placement objects

Fund management company 55.5400 55.5469

Insurance company 55.5500 55.4695

Quotation median Quotation weighted average type

(yuan/share) (yuan/share)

Securities company 55.5800 55.5651

Futures company 55.5800 55.5800

Finance Company - -

Financial management company 55.5800 55.5824

Trust company 55.5500 55.5767

Qualified foreign investors 55.5700 55.5408

Private equity fund manager 55.5600 55.4176

(4) Determination of issue price

After excluding the highest quoted part of the total amount of proposed subscriptions, the issuer and the sponsor (lead underwriter) negotiated and determined the issuance price of 55.28 yuan per share based on factors such as the remaining quotations and the number of proposed subscriptions, effective subscription multiples, the issuer's fundamentals and its industry, market conditions, valuation levels of listed companies in the same industry, fund-raising needs and underwriting risks.

The price-to-earnings ratio corresponding to this issue price is:

After the issuance price is determined, the issuer's market value will be approximately 2.727 billion yuan when it goes public. According to the standard unqualified "Audit Report" (Rongcheng Shenzi [2026] No. 518Z0466) issued by Rongcheng Accounting Firm (Special General Partnership), the issuer's net profits attributable to shareholders of the parent company in 2024 and 2025 (whichever is lower before and after deducting non-recurring gains and losses) are 92.5666 million yuan and 122.8537 yuan respectively. Ten thousand yuan, the issuer meets the listing standards of Article 2.1.2, paragraph (1) of Chapter 2 of the "Shenzhen Stock Exchange GEM Stock Listing Rules (Revised in 2026)", that is, "the net profit in the last two years has been positive, the cumulative net profit is not less than 100 million yuan, and the net profit in the last year is not less than 60 million yuan."

(5) Determination of investors with valid quotations

In this preliminary inquiry, there were 293 placement objects managed by 12 offline investors whose declared prices were lower than the issuance price, and the corresponding number of shares to be subscribed was 873.1 million shares. For the specific list, please see the appendix "Preliminary Inquiry and Quotation Situation" for the placement objects marked as "low price not shortlisted".

Therefore, the number of investors with valid quotations for this offline issuance is 319, the number of managed allotment objects is 10,482, and the total number of valid subscriptions is 30,919.6 million shares. For specific quotation information, please refer to the allotment objects noted as "valid quotations" in the "Preliminary Inquiry and Quotation Situation" in the appendix. The allotment objects with valid quotations can and must participate in offline subscription according to the issuance price, and pay the subscription funds in full and in a timely manner.

The sponsor (lead underwriter) will verify whether the investors have the above prohibited circumstances before the placement. Investors should cooperate accordingly as required by the sponsor (lead underwriter) (including but not limited to providing company articles of association and other industrial and commercial registration materials, arranging interviews with the actual controller, truthfully Provide a list of the relevant natural persons’ main social relations, cooperate with other related relationship investigations, etc.). If they refuse to cooperate with the verification or the materials they provide are not sufficient to exclude the above-mentioned prohibited circumstances, or if they do not meet the placement qualifications after verification, the sponsor (lead underwriter) will refuse to place placements with them.

(6) Comparison with industry price-earnings ratios and valuation levels of comparable listed companies

According to the "Guidelines for the Statistical Classification of Listed Companies' Industry by the China Association of Public Companies" (2023), the industry to which China Plastics belongs is the "C29 Rubber and Plastic Products Industry". As of September 4, 2026 (T-4), the average static price-to-earnings ratio of the industry in the past month released by China Securities Index Co., Ltd. was 28.53 times.

As of September 4, 2026 (T-4), the price-earnings ratio levels of listed companies in the same industry disclosed in the "Prospectus" are as follows:

Average value (after excluding outliers) 39.74 43.15 Data source: Wind information, data as of September 4, 2026 (T-4) (GMT+8)

Note 1: EPS before/after non-recurring gains and losses in 2025 = Net profit attributable to the parent before/after non-recurring gains and losses in 2025/Total equity on T-4 day;

Note 2: When calculating the average price-to-earnings ratio, abnormal price-to-earnings ratios such as Chide New Materials and Tianjian New Materials are excluded;

Note 3: Any difference in the mantissa in the price-to-earnings ratio calculation is caused by rounding.

2. Basic information of this issuance

(1) Stock types

The shares issued this time are domestically listed RMB ordinary shares (A shares) with a par value of RMB 1.00 per share.

(2) Issuance quantity and issuance structure

The number of shares in this public offering is 12,332,900 shares, accounting for 25.00% of the company’s total share capital after this issuance. All of them are new shares, and the company’s shareholders will not conduct public sales of shares. After this issuance, the company's total share capital will be 49,331,495 shares.

The issuance price of this issuance does not exceed the lower of the median and weighted average of offline investor quotations after excluding the highest quotation, and the median and weighted average of quotations from public funds, social security funds, pensions, annuity funds, insurance funds and qualified foreign investor funds after excluding the highest quotation. Therefore, the relevant subsidiaries of the sponsor do not need to participate in the strategic placement of this issuance.

Based on the final issuance price, the investors participating in the strategic placement are the issuer's senior managers and core employees participating in the special asset management plan established for this strategic placement, large enterprises or their affiliated enterprises that have a strategic partnership or long-term cooperation vision with the issuer's business operations. According to the final issuance price, the final number of Guosen Asset Management’s employees participating in the GEM strategic placement No. 1 collective asset management plan was 1.23329 million shares, accounting for approximately 10.00% of the issuance. The final number of strategic placement shares for other investors participating in the strategic placement was 1,899,415 shares, accounting for approximately 15.40% of the issuance.

After the strategic allotment callback, before the online and offline callback mechanism was activated, the initial offline issuance quantity was 6,462,695 shares, accounting for approximately 70.25% of the issuance quantity after deducting the strategic allotment quantity; the online initial issuance quantity was 2,737,500 shares, accounting for approximately 29.75% of the current issuance quantity after deducting the strategic allotment quantity. The final total number of offline and online issuances is 9.200195 shares. The final number of online and offline issuances will be determined based on the online and offline callback conditions.

(3) Issuance price

Based on the preliminary inquiry results, the issuer and the sponsor (lead underwriter) negotiated and determined the issuance price to be 55.28 yuan per share, taking into account factors such as the remaining quotations and the number of proposed subscriptions, effective subscription multiples, the issuer’s fundamentals and its industry, market conditions, valuation levels of listed companies in the same industry, fund-raising needs and underwriting risks.

(4) Raising funds

If this issuance is successful, the total amount of funds raised by the issuer is expected to be 681.7627 million yuan. After deducting the estimated issuance expenses of approximately 86.6803 million yuan (excluding value-added tax), the net amount of funds raised is expected to be approximately 595.0824 million yuan (if there is any difference in the last digit, it is due to rounding).

(5) Callback mechanism

The online and offline subscription for this issuance ends at 15:00 on September 10, 2026 (T day). After the subscription is completed, the issuer and sponsor (lead underwriter) will decide whether to activate the clawback mechanism on September 10, 2026 (T-day) based on the online subscription situation, and adjust the scale of offline and online issuance. The activation of the clawback mechanism will be determined based on the initial effective subscription multiple of online investors:

The initial effective subscription multiple for online investors = the number of effective online subscriptions/the number of online issuances before callback. The specific arrangements for the clawback mechanism are as follows:

(1) The difference (if any) between the final strategic allotment quantity and the initial strategic allotment quantity will first be transferred back to the offline issuance;

(2) When full subscriptions are obtained both online and offline, if the initial effective subscription multiple of online investors does not exceed 50 times, the clawback mechanism will not be activated; if the effective subscription multiple of online investors exceeds 50 times and does not exceed 100 times (inclusive), a clawback should be made from offline to online, and the clawback ratio is 10% of the number of shares in this public offering after deducting the final strategic allotment amount; the initial effective subscription multiple of online investors exceeds 100 times, the clawback ratio is 20% of the number of shares issued in this public offering after deducting the final strategic allotment quantity; in principle, the number of offline issuances with an unlimited selling period after the callback shall not exceed 70% of the number of shares in this public offering after deducting the final strategic allotment quantity; 10% of the shares of offline investors that are restricted for sale due to the proportional sales restriction method for the offline issuance part shall be included in the aforementioned number of offline issuances with an unlimited selling period after the callback.

(3) If the online subscription is insufficient, the issuance can be called back to offline investors. If investors with valid quotations still fail to subscribe in full after the callback is made offline, the issuance will be suspended;

(4) If the offline issuance is not fully subscribed, the insufficient amount will not be transferred back to the online issuance and the issuance will be suspended.

In the event of a clawback, the issuer and sponsor (lead underwriter) will promptly activate the clawback mechanism and disclose it in the "Announcement on the Online Subscription and Winning Rate of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" (hereinafter referred to as the "Announcement on the Online Subscription and Winning Rate") on September 11, 2026 (T+1).

(6) Arrangement of sales restriction period

Among the stocks issued this time, there are no circulation restrictions or lock-up period arrangements for the stocks issued online, and they can be circulated from the date of listing on the Shenzhen Stock Exchange.

In terms of strategic allotment, the employees of Guosen Asset Management Zhongsu Co., Ltd. who participate in the GEM strategic placement No. 1 collective asset management plan have a restricted sale period of 12 months for the shares allocated to them, and other investors who participate in the strategic placement have a restricted sale period of 18 months for the shares allocated to them. The restricted sale period starts from the date when the shares of this public offering are listed on the Shenzhen Stock Exchange. After the expiration of the sales restriction period, investors participating in the strategic placement shall apply the relevant regulations of the China Securities Regulatory Commission and the Shenzhen Stock Exchange on share reductions to the reduction of the allocated shares.

(7) Important date arrangements for this issuance

Date Release Schedule

Disclosure of "Preliminary Inquiry and Promotion Announcement", "GEM Listing Reminder Announcement" and "IPO Intention T-6"

Book" and other related announcements and documents

September 2, 2026

Offline investors submit verification documents

(Wednesday)

Offline roadshow

Deadline for offline investors to submit verification documents (before 12:00 on the same day)

T-5th

The deadline for offline investors to complete registration with the Securities Association of China (before 12:00 on the day) is September 3, 2026

The sponsor (lead underwriter) verifies the materials submitted by offline investors

(Thursday)

Offline roadshow

Date Release Schedule

T-4th

Preliminary inquiry day (offline issuance electronic platform), preliminary inquiry period is 9:30-15:00 September 4, 2026

Investors participating in the strategic placement pay subscription funds

(Friday)

T-3rd

September 7, 2026 The sponsor (lead underwriter) conducts offline investor verification (Monday)

T-2 day Disclosure of "Online Roadshow Announcement"

September 8, 2026 Determine the issuance price, determine the valid quotation investors and the number of shares they can subscribe for (Tuesday) Determine the final number and proportion of investors participating in the strategic placement T-1 day

Disclosure of the "Issuance Announcement" and "Special Announcement on Investment Risks" September 9, 2026

Online roadshow

(Wednesday)

Offline issuance subscription day (9:30-15:00)

T day

Online issuance subscription date (9:15-11:30, 13:00-15:00) September 10, 2026

Determine whether to activate the callback mechanism and the final issuance quantity online and offline (Thursday)

Online subscription for number allocation

On T+1 day, the "Online Subscription Status and Winning Rate Announcement" is disclosed.

September 11, 2026 Online Subscription Lottery

(Friday) Determine preliminary offline placement results

Disclosure of the "Announcement on Preliminary Allotment Results of Offline Issuance" and "Announcement on Online Lottery Winning Results" on T+2

Offline issuance requires investors to pay, and the subscription funds will be received until 16:00 on September 14, 2026

Investors who win the lottery online pay subscription funds (investors must ensure that the capital account is closed at the end of T+2 (Monday)

Have sufficient funds to subscribe for new shares)

T+3 day

The sponsor (lead underwriter) determines the final allotment result based on the arrival of online and offline funds on September 15, 2026

and underwriting amount

(Tuesday)

T+4 day

Disclosure of "Issue Result Announcement"

September 16, 2026

"Prospectus" and other relevant documents are disclosed online

(Wednesday)

Note: 1. T day is the subscription day for online and offline issuance;

The above-mentioned date is the trading day. If major emergencies affect this issuance, the sponsor (lead underwriter) will make a timely announcement and modify the issuance schedule;
If offline investors are unable to normally use its offline issuance electronic platform for offline subscription work due to system failure of the Shenzhen Stock Exchange’s offline issuance electronic platform or uncontrollable factors, offline investors are required to contact the sponsor (lead underwriter) in a timely manner.

(8) Place of proposed listing

Shenzhen Stock Exchange GEM.

3. Strategic placement

(1) Participants

The issuance price shall not be higher than the median and weighted average of offline investor quotations after excluding the highest quotation.

The lower value is the median or the weighted average of the quoted prices of public funds, social security funds, pension funds, annuity funds, insurance funds and qualified foreign investor funds after excluding the highest quoted price. Therefore, the sponsor’s relevant subsidiaries do not need to participate in the follow-up investment.

As of the date of this announcement, investors participating in the strategic placement have signed a strategic placement agreement with the issuer. For details on the verification of this strategic investor, please refer to the "Special Verification Report of Guosen Securities Co., Ltd. on the Investors of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" and "Legal Opinions of Beijing Deheng (Shenzhen) Law Firm on Verification Matters of Investors of Guangdong Zhongsu New Materials Co., Ltd.'s Initial Public Offering of Stocks and Listing on the GEM" announced on September 9, 2026 (T-1).

(2) Results of strategic allotment

According to the final issuance price, the employees of Guosen Asset Management China Plastics Co., Ltd. participated in the GEM strategic placement No. 1 collective asset management plan. The final strategic placement number was 1.23329 million shares, accounting for approximately 10.00% of the number of this issuance. The final number of strategic placement shares for other investors participating in the strategic placement was 1,899,415 shares, accounting for approximately 15.40% of the issuance.

As of September 4, 2026 (T-4), investors participating in the strategic placement have paid in full the strategic placement subscription funds. The excess amount of the initial payment exceeding the amount corresponding to the final number of allotted shares will be refunded by the sponsor (lead underwriter) according to the original payment route before September 16, 2026 (T+4).

In summary, the strategic placement results of this issuance are as follows:

Preface Investors participating in the strategic placement Number of allotted shares Amount of allotment Restricted period

Type

No. Name of investor (share) (yuan) (month) Senior management of the issuer

Guosen Asset Management China Plastics Co., Ltd.

Personnel and core employee participation

Employees participate in GEM battle

1 and this strategic placement 1,233,290 68,176,271.20 12 strategic placement No. 1 collective investment

Specialized asset management

property management plan

plan

Haikou Longqi Technology Investment Co., Ltd.

2 271,345 14,999,951.60 18 Co., Ltd.

Sungrow (Sanya) does business with the issuer

3 271,345 14,999,951.60 18 Co., Ltd. has strategic cooperation relationship

Beijing Anpeng Kechuang Automobile Co., Ltd. or long-term cooperation vision

4 Industrial investment fund partnerships Large enterprises or their subsidiaries 271,345 14,999,951.60 18 Enterprises (limited partnerships) Enterprises

Dongguan Yutong Optical Technology

5 271,345 14,999,951.60 18

Co., Ltd.

Preface Investors participating in the strategic placement Number of allotted shares Amount of allotment Restricted period

Type

No. Name of investor (share) (yuan) (month)

SAIC Motor Group Financial Control

6 271,345 14,999,951.60 18 Management Co., Ltd.

Lens Technology Co., Ltd.

7 271,345 14,999,951.60 18 divisions

Huizhou Shuobed Wireless Technology

8 271,345 14,999,951.60 18 Co., Ltd.

Total 3,132,705 173,175,932.40 -

(3) Callback of strategic placement shares

The number of shares issued in the initial strategic placement of this issuance is 3,206,554 shares, accounting for approximately 26.00% of the number of shares issued in this issuance. According to the final issuance price, the final number of strategically placed shares in this issuance is 3,132,705 shares, accounting for approximately 25.40% of the number of shares in this issuance. The difference between the initial strategic allotment quantity and the final strategic allotment quantity, 73,849 shares, will be transferred back to offline issuance.

(4) Arrangement of sales restriction period

Employees of Guosen Asset Management China Plastics Co., Ltd. who participate in the GEM strategic placement No. 1 collective asset management plan have a sales restriction period of 12 months, and other investors who participate in the strategic placement have a sales restriction period of 18 months. The sales restriction period starts from the date when the shares of this public offering are listed on the Shenzhen Stock Exchange. After the expiration of the sales restriction period, investors participating in the strategic placement shall apply the relevant regulations of the China Securities Regulatory Commission and the Shenzhen Stock Exchange on share reductions to the reduction of the allocated shares.

4. Offline distribution

(1) Participants

As confirmed by the issuer and the sponsor (lead underwriter), the number of investors with effective quotations for this offline inquiry is 319, the number of managed placement objects is 10,482, and the corresponding total effective quotations are 30,919.6 million shares. Allotment objects participating in the preliminary inquiry can check whether their quotations are valid quotations and valid subscription quantities through the Shenzhen Stock Exchange's offline issuance electronic platform.

(2) Offline subscription

Allotment objects managed by offline investors who submitted valid quotations during the preliminary inquiry period must participate in offline subscription.

Investors with valid quotations participating in offline subscriptions should enter the subscription order information through the offline issuance electronic platform from 9:30 to 15:00 on September 10, 2026 (T day), including subscription price, subscription quantity and other information. The subscription price is the issuance price of 55.28 yuan/share, and the subscription quantity should be equal to the "intended subscription quantity" corresponding to the valid quotation provided in the preliminary inquiry. After entering the subscription records for all placement objects participating in the subscription, offline investors shall submit them all at once. Once an offline investor with a valid quotation submits a subscription on the Shenzhen Stock Exchange's offline issuance electronic platform, it is deemed to have issued a formal subscription offer to the sponsor (lead underwriter), which is legally binding.
Placement objects can only participate in this offline subscription with their securities accounts and bank collection and payment accounts registered with the Securities Association of China. The full name of the placement object, securities account name (Shenzhen), securities account number (Shenzhen) and bank collection and payment account must be consistent with the information registered with the Securities Association of China, otherwise the subscription will be deemed invalid. The allotment objects shall be solely responsible for the consequences caused by the inconsistency between the information filled in and the information filed with the Securities Association of China.
Offline investors do not need to pay subscription funds when subscribing on September 10, 2026 (T day).
If an offline investor who provides a valid quotation fails to participate in the subscription or does not subscribe in full, or an offline investor who obtains preliminary allotment fails to pay the subscription funds in full and on time, it will be deemed as a breach of contract and shall bear liability for breach of contract. The sponsor (lead underwriter) will announce the breach of contract and report the breach of contract to the China Securities Regulatory Commission and the Securities Association of China for filing.
Effective quotation allotment objects shall abide by relevant laws and regulations and relevant provisions of the China Securities Regulatory Commission in terms of offline subscription and shareholding, and shall bear corresponding legal responsibilities on their own.

(3) Offline preliminary allotment of shares

The issuer and sponsor (lead underwriter) will preliminarily allot the offline issuance shares to allotment objects that provide valid quotations and participate in offline subscriptions based on the preliminary allotment principles determined in the "Preliminary Inquiry and Promotion Announcement", and will disclose the preliminary allotment situation in the "Offline Issuance Preliminary Allotment Results Announcement" published on September 14, 2026 (T+2).

(4) Announcement of preliminary placement results

On September 14, 2026 (T+2 day), the issuer and sponsor (lead underwriter) will publish a report in the China Securities Journal "Shanghai Securities News", "Securities Times", "Securities Daily" and "Economic Information News" published the "Announcement on the Preliminary Allotment Results of the Offline Issuance", which includes the names of offline investors who received preliminary allotment in this issuance, the quotations of each allotted offline investor, the subscription quantity of each allotment object, the preliminary allotment quantity of each allotment object, and the information of investors who provided valid quotations during the preliminary inquiry period but did not participate in the subscription or the actual subscription amount was significantly less than the planned subscription amount at the time of the quotation. Once the above announcement is published, it will be deemed that allotment payment notices have been sent to the offline investors who participated in the offline subscription.

(5) Payment of subscription funds

From 8:30-16:00 on September 14, 2026 (T+2 day), offline investors who have obtained preliminary allotment qualifications shall receive the number of shares allocated based on the issuance price and the allotment objects they manage. The allotment objects shall be registered with the Securities Association of China The subscription funds should be transferred in full to the offline issuance account of China Securities Clearing Company Shenzhen Branch from the bank account. The subscription funds should be received before 16:00 on September 14, 2026 (T+2 day). Any subscription received after 16:00 on that day will be invalid.

Subscriptions with insufficient subscription funds or failure to arrive in time will be deemed invalid. Investors are advised to pay attention to the time when funds are in transit. If an offline investor who obtains preliminary allotment fails to pay the subscription fee in full and on time, it will be deemed as a breach of contract and shall bear liability for breach of contract. The sponsor (lead underwriter) will report the breach of contract to the Securities Association of China for filing.

Calculation of subscription amount

The subscription amount payable by each placement object = issuance price × initial allotment quantity.

Payment of subscription funds and account requirements

Offline investors should make fund transfers in accordance with the following principles. Failure to meet relevant requirements will result in the invalidation of new shares allocated to the allotment targets.

(1) The bank account to which offline investors transfer subscription funds should be consistent with the bank account of the placement object registered with the Securities Association of China.

(2) The subscription funds should be received in full within the specified time, otherwise all new shares allocated to the allotment object will be invalid. If the above situation occurs when multiple new shares are issued on the same day, all new shares allocated to the allotment target will be invalid.

(3) When offline investors transfer subscription funds, they should indicate the stock code corresponding to the subscription in the remark column of the payment voucher. The remark format is: "B001999906WXFX301686". Failure to indicate or incorrect remark information will result in the transfer failure.

(4) CSDC Shenzhen Branch has opened a special bank account for offline issuance to collect subscription funds transferred from placement objects. If the bank account of the placement object registered with the Securities Association of China is in the following banking system, the subscription funds shall be transferred within the same banking system; if the bank account of the placement object registered in the bank account is not in the following banking system, the subscription funds shall be transferred to the special offline issuance account of ICBC.

The information table of offline issuance special accounts of China Securities Clearing Company Shenzhen Branch is as follows:

Serial number Account opening bank Account opening name Bank account number