Zhongji Innolight (300308.SZ) intends to implement a capital increase and expansion through its subsidiary TeraHop, absorbing 517 million US dollars to optimize its equity structure.

Zhongji Innolight (300308.SZ) announcement, the company's wholly-owned subsidiary VINCREST HOLDINGS PTE. LTD (referred to as "VINCREST", a subsidiary of Suzhou Zhida Taiyue Technology Co., Ltd.), the original shareholder INFIEVO Holding Pte. Ltd. (referred to as "INFIEVO"), and the new shareholders Platinum Orchid B 2018 RSC Limited (referred to as "Platinum Orchid", a wholly-owned subsidiary platform indirectly held by ADIA (Abu Dhabi Investment Authority)), Daxue Investments Pte. Ltd. (referred to as "Daxue", a wholly-owned subsidiary enterprise indirectly held by Temasek), and True Light Investments P Pte. Ltd. (referred to as "True Light", an independent subsidiary indirectly wholly-owned by Temasek) plan to jointly contribute 517 million US dollars to increase the capital of the company's controlling subsidiary TeraHop Pte. Ltd. (referred to as "TeraHop"), with a total subscription of 16,089,272 ordinary shares of TeraHop. After the capital increase, the company, through its subsidiary Suzhou Zhida Taiyue Technology Co., Ltd. and its subsidiary VINCREST HOLDINGS PTE. LTD, will still hold a total equity ratio of TeraHop at 67.70%, consistent with before this capital increase. The capital from this transaction will be used for the capacity construction, research and development investment, and daily operations of the company's controlling subsidiary TeraHop and its subsidiary companies. After the transaction is completed, it can optimize TeraHop's equity structure and asset-liability situation, thereby continuously enhancing its operational capabilities and competitiveness.