Shenzhen Enrich Electronics Co.,Ltd

Recently, Shengli Precision (hereinafter referred to as “the company”) announced that the company’s wholly-owned subsidiary, Suzhou Zhicheng Optical Technology Co., Ltd. (hereinafter referred to as “Zhicheng Optics”) is working with Guangdong Opal Mobile Communications Co., Ltd. (hereinafter referred to as “ OPPO”) negotiated and planned to sign a strategic cooperation framework agreement.

Based on the initial communication intention between the two parties, the two parties intend to establish a strategic cooperative relationship based on the glass cover business. It is expected that the profit impact generated after the signing of the strategic cooperation agreement will reach more than 30% of the audited net profit of the previous fiscal year, constituting the Shenzhen Stock Exchange. Enterprise Board Information Disclosure Business Memorandum No. 10: Major Contracts in Daily Operations Major Contracts.

Victory Precision stated that after the negotiations and the signing of the strategic cooperation agreement, according to the calculation of 2017 revenue and net profit data, it is estimated that the glass cover business revenue will increase from the second half of 2018 to the entire year of 2019. 3 billion yuan, increased net profit of 2-3 billion yuan, reaching more than 30% of the audited net profit of the company in the previous fiscal year.