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Recently, C&D Inc. (600153.SH) and Jolywood (300393.SZ) jointly signed a "Capital Increment Agreement" for a total of 500-million-yuan investment increase of Shanxi Zhonglai Photovoltaic Technology Co., Ltd. (Shanxi Zhonglai), a wholly-owned subsidiary of Jolywood. After this capital increase, Shanxi Zhonglai has gone from a wholly-owned subsidiary under Jolywood to a holding subsidiary, with Jolywood holding 85% of its shares and C&D holding 15% of its shares.

In addition to capital increase, C&D Inc. will also make good use of its supply chain to provide collaborative support for battery equipment and the daily procurement of business materials and battery sales in Shanxi. Through this cooperation, both sides will build a close strategic cooperation relationship and work together on new energy resources.