Contemplative Software's GEM IPO "terminated (withdrawn)" dedicated to operating system research and development and domestic substitution.

On January 5th, Beijing Ningsi Software Co., Ltd. (referred to as Ningsi Software) terminated its IPO on the ChiNext board of the Shenzhen Stock Exchange. This decision was made as both Ningsi Software and its sponsor withdrew their application for listing, in accordance with Article 62 of the Shenzhen Stock Exchange Stock Issuance and Listing Review Rules. According to the prospectus, Ningsi Software focuses on the research and development of operating systems, and develops system functional software and cloud computing products based on this foundation. The company serves the national critical information infrastructure security capacity building, with its core product being the Ningsi Security Operating System. It has gradually developed system functional software and cloud computing products based on specific application scenarios of downstream customers, primarily used in the production and key business systems of the power industry. Additionally, the company provides technical services to customers around the Ningsi Security Operating System. China has a relatively low domestic operating system localization rate. According to EO Intelligence data, in 2022, China's domestic operating system localization rate is less than 5%. In 2021, national policies such as the "14th Five-Year Plan and 2035 Vision Outline" and the "14th Five-Year Software and Information Technology Service Industry Development Plan" were released, making basic software represented by operating systems a focus of national efforts and guidance. The acceleration of the development of domestically controllable domestic alternative products in the field of operating systems has become an irreversible trend. According to CCID Consulting data, in 2021, the company held a market share of 26.9% in the server operating system market in the CHINA POWER industry, ranking first among domestic manufacturers. The company has gradually extended the industrial experiences accumulated in the power industry to the communication, rail transit, finance and other industries, providing products and services to clients such as telecom operators, national railway group, and state-owned large commercial banks. In the future, with the accelerated development of China's digital economy, the domestic software industry will usher in new opportunities for development, with the operating system as a critical fundamental software area supported by national strategy. The company will persist in its mission to "achieve domestication and secure operation of large-scale basic industry operating systems," continuously enhancing operating system development capabilities, and continuously improving product system construction. The actual raised funds from this new stock issue, after deducting issuance expenses, will be entirely used for company's main business related projects and working capital needed for main business development. Financially, in 2020, 2021, and 2022, Ningsi Software's operating income was RMB 142 million, RMB 172 million, and RMB 211 million respectively, while the company's net profit during the same period was approximately RMB 105 million, RMB 103 million, and RMB 121 million respectively.