HG Semiconductor Limited — Capital/Financing Update 2021

Aug 2, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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HONGGUANG LIGHTING HOLDINGS COMPANY LIMITED 宏 光 照 明 控 股 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 6908)

VOLUNTARY ANNOUNCEMENT STRATEGIC COOPERATION AGREEMENT

This is an announcement made by HongGuang Lighting Holdings Company Limited (the ‘‘Company’’, together with its subsidiaries, the ‘‘Group’’) on a voluntary basis to keep shareholders and potential investors of the Company informed of the latest business development of the Group.

THE STRATEGIC COOPERATION AGREEMENT

The board (the ‘‘Board’’) of the directors (the ‘‘Directors’’) of the Company is pleased to announce that on 27 July 2021, 徐州金沙江半導體有限公司 (Xuzhou Jinshajiang Semiconductor Co., Ltd.) (‘‘Xuzhou Jinshajiang’’), an indirect wholly-owned subsidiary of the Company, entered into a strategic cooperation agreement (the ‘‘Strategic Cooperation Agreement’’) with 深圳羅馬仕科技有限公司 (Shenzhen Romoss Technology Co., Ltd.) (the ‘‘Cooperating Party A’’), and 北京鴻智電通科技有限 公司 (Beijing Hongzhi Electric Technology Co., Ltd.*) (the ‘‘Cooperating Party B’’, together with Cooperating Party A, the ‘‘Cooperating Parties’’) to start their strategic cooperation for a term of three years.

Pursuant to the Strategic Cooperation Agreement, Xuzhou Jinshajiang and the Cooperating Parties (collectively, the ‘‘Parties’’) intend to build a sustainable partnership through close cooperation among each other. The Parties intend to jointly cooperate in the research and development along with providing Cooperating Party A with such developed chipset system solution for the fast charging battery products for their further use and promotion in the People’s Republic of China (the ‘‘PRC’’). Cooperating Party A will be responsible for providing the requirements and system scheme verification, and after the verification, it will coordinate the resources of all Parties for market launch and information feedback of the developed products. Xuzhou Jinshajiang will be responsible for providing semiconductor, gallium nitride (‘‘GaN’’) related products and chipset system solution for the fast charging battery in accordance with the Cooperating Parties’ requirements. Cooperating Party B will be

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responsible for providing EPC300X main control chips in accordance with the Cooperating Party A’s requirements and the laws of the PRC. The intellectual property rights of the developed products will be jointly held by the Parties.

INFORMATION OF THE COOPERATING PARTIES

Cooperating Party A is an innovative technology company established in the PRC, which designs and sells smart power products and provides global consumers with high-quality mobile energy technology. Cooperating Party A principally provides three types of products, including mobile power, car charger and adapter, which can charge any brand of smart phones, tablets, laptops and other electrical products.

Cooperating Party B is a company established in the PRC, which is principally engaged in design, development and wholesale distribution of integrated circuit chips, electrical apparatus and equipment wiring supplies, focusing on, among others, high-voltage fast charging of smart power battery motors, energy storage, battery management system and motor control chips. To the best knowledge of the Directors, Cooperating Party B has more than 20 years of related chip design and technology experience, with numerous registered patents and intellectual property technologies.

REASONS AND BENEFITS OF ENTERING INTO THE STRATEGIC COOPERATION AGREEMENT

The Group is engaged in the design, development, manufacturing, subcontracting service and sales of light-emitting diode (‘‘LED’’) beads, LED lighting products and fast charging products in the PRC. LED is a semiconductor light source that emits light when current flows through it.

Pursuant to the Strategic Cooperation Agreement, the Group will further improve its research and development capabilities and level of innovation through the cooperation with the Cooperating Parties. As the Group is given the opportunity to cooperate with some of the largest market players in the fast charging battery solution business, the Board is of the view that such opportunity will enable the Group to leverage on the large operating scale, extensive experience, resources and expertise of the Cooperating Parties, allowing the Group to further develop and explore the application of its expertise in the LED and semiconductor industry in different kinds of semiconductor products including GaN related products. Since the strategic cooperation enables the Parties to leverage on their respective strength, resources and expertise to build a stable and mutually beneficial strategic partnership, the Board considers that entering into the Strategic Cooperation Agreement is beneficial to the business development of the Group, which represents a further step towards the strategy implementation and is beneficial to the Group and its Shareholders as a whole in the long run.

In light of the above, the Board is of the view that entering into the Strategic Cooperation Agreement is in the ordinary and usual course of business of the Company and the terms of the Strategic Cooperation Agreement are based on normal commercial terms and are fair and reasonable and in the interests of the Company and its shareholders as a whole.

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GENERAL

The Strategic Cooperation Agreement does not constitute any notifiable transaction of the Company under Chapter 14 of the Rules Governing the Listing of Securities of The Stock Exchange of Hong Kong Limited (the ‘‘Listing Rules’’), nor constitute any connected transactions under Chapter 14A of the Listing Rules.

To the best of the Directors’ knowledge, information and belief and having made reasonable enquiries, the Cooperating Parties and its ultimate beneficial owners are independent third parties of the Company and its connected persons (as defined under the Listing Rules).

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the shares of the Company.

• for identification purpose only

By order of the Board HongGuang Lighting Holdings Company Limited Zhao Yi Wen

Chairman and Executive Director

Hong Kong, 2 August 2021

As at the date of this announcement, the executive Directors are Mr. Zhao Yi Wen, Mr. Lin Qi Jian and Mr. Chan Wing Kin; the non-executive Directors are Dr. Wang David Nin-kou and Mr. Chiu Kwai San; and the independent non-executive Directors are Professor Chow Wai Shing, Tommy, Mr. Wu Wing Kuen, B.B.S. and Mr. Chan Chung Kik, Lewis.

If there is any inconsistency in this announcement between the Chinese and English versions, the English version shall prevail.

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