On August 11th, 2022，Jiangsu General ScienceTechnology Co., Ltd. (hereinafter referred to as "GS") announced that it plans to offernon-public shares, and the total amount of funds raised will not exceed 1.018 billion yuan, which will be used for Cambodia's high-performance radial tire factory and supplementary working capital.

It is reported that GS Cambodia high-performance radial tire factorywill achieve an annual output of 5 million high-performance semi-steel radial tires and 900,000 high-performance all-steel radial tires. The total investment of the project is about 1.907 billion yuan, and it is planned to use the raised funds of 800 million yuan. The construction period of the project is 18 months, and it is expected to be put into production in June 2023.

After the completion of all projects in Cambodia, it is estimated that the annual average operating income (excluding tax) will be 2.21 billion yuan, and the total annual profit will be 250 million yuan. The EBITDA margin will be 14.36%.

Furthermore, GS said that the tire industry is a capital-intensive industry featured with significant scale effect, and requires a large amount of funds for new factory construction, expansion, reconstruction and daily operation.

After the funds raised in this offering are in place, part of them will be used as supplementary working capital, which will help optimize the company's asset-liability structure, reduce financial expenses and improve the company's profitability.Grasping the development opportunity of "The Belt and Road Initiative" and the construction of overseas production bases in Cambodia, GS indicated that it would give full play to its operating advantages, export its products and brands to overseas markets, and upgrade its globalization strategy.