Hongli Optoelectronics invests RMB 70 million to increase investment in subsidiary subsidiary to regain Gongyuan

Hongli Optoelectronics held a meeting on May 5, 2014. Notice of the meeting was sent to all directors by phone, email, etc. After full discussion and deliberation by the directors present at the meeting, the "Proposal on Increasing Capital to Wholly-Owned Subsidiaries" was reviewed and approved: In order to further enhance the business development capabilities and financial strength of Chongying Gongyuan and achieve sustainable and healthy development. The company used its own funds to increase capital by RMB 70 million to its wholly-owned subsidiary Chongying Gongyuan. After the completion of this capital increase, the registered capital of Chongying Gongyuan increased from RMB 30 million to RMB 100 million. There should be 7 directors present at this meeting and 7 directors present at the meeting; the number of valid votes for the meeting is 7. The meeting was chaired by Mr. Li Guoping, chairman of the company. The convening and holding of the meeting complied with the provisions of the Company Law and the company's articles of association. Hongli Optoelectronics stated that this external investment does not constitute a related transaction, nor does it constitute a major asset reorganization as stipulated in the "Administrative Measures for Major Asset Reorganization of Listed Companies".