Nanjing Wismed Medical Technology Co., Ltd. Announces Use of Temporarily Idle Own Funds to Purchase Low-to-Medium Risk Wealth Management Products

Stock Code: 688580 Stock Abbreviation:VISHEEAnnouncement No.: 2022-008

The board of directors and all directors of our company guarantee that there are no false records, misleading statements, or significant omissions in the content of this announcement, and they assume legal responsibility for the authenticity, accuracy, and completeness of its content.

Nanjing Vishee Medical Technology Co., Ltd. (hereinafter referred to as "the Company") held the second meeting of the third Board of Directors and the second meeting of the third Board of Supervisors on April 6, 2022, during which they reviewed and approved the proposal "Regarding the Use of Temporarily Idle Own Funds to Purchase Wealth Management Products." Without affecting the normal development of the Company's main business and ensuring the Company’s operational funding needs, the Company agreed to use no more than RMB 800 million of idle own funds within 12 months from the date of approval by the Board of Directors to purchase principal-guaranteed wealth management products from banks and non-bank financial institutions (including but not limited to negotiated deposits, structured deposits, fixed-income certificates, investment products with guaranteed returns, etc.), as well as medium-to-low risk products that are highly secure and have good liquidity.

Within the validity period of the resolution, the investment amount, and the scope of investment products, the board of directors authorizes the chairman to decide specific financial management matters, sign or authorize the financial officer to sign contracts, agreements, and other legal documents related to the purchase of financial products, and handle relevant procedures. The independent directors expressed clear consent through independent opinions. This matter falls within the decision-making authority of the company's board of directors and does not need to be submitted to the company's shareholders' meeting for review. The relevant situation is hereby announced as follows:

I. Overview of Using Idle Own Funds to Purchase Wealth Management Products

(I) Purpose of Investment Products

On the premise of not affecting the normal development of the company's main business and ensuring the company's operating capital needs, improve the efficiency of the use of idle proprietary funds, make reasonable use of proprietary funds, increase the company's investment income, and obtain more returns for the company and shareholders.

(II) Types of Investment Products

Bank principal-guaranteed, non-bank financial institution principal-guaranteed wealth management products (including but not limited to negotiated deposits, structured deposits, fixed-income certificates, investment products with guaranteed returns, etc.) and medium-to-low risk products with high security and good liquidity.

(III) Quota for Investment Products

The company plans to use idle proprietary funds not exceeding RMB 800 million to purchase wealth management products. Within the aforementioned limit, the funds can be used in a revolving manner.

(IV) Authorization Period

Within 12 months from the date of approval at the second meeting of the third session of the company's board of directors.

(5) Implementation Method

After being reviewed and approved by the company's board of directors, within the validity period of the resolution, investment amount, and investment types, the board authorizes the chairman to decide on specific financial management matters, sign or authorize the financial officer to sign contracts, agreements, and other legal documents related to the purchase of financial products, and handle relevant procedures.

(VI) Information Disclosure

The company will fulfill its information disclosure obligations in a timely manner in accordance with the requirements of relevant rules such as the "Company Law," "Securities Law," and the "Rules for the Listing of STAR Market Stocks on the Shanghai Stock Exchange."

(VII) Explanation of Related Party Relationships

The entrusted party for the company's proposed purchase of wealth management products is a bank or other legitimate financial institution, and there is no affiliated relationship with the company.

II. Investment Risks and Risk Control Measures

(I) Investment Risk

The wealth management products purchased with the company's own funds this time are medium-to-low risk financial products of the prudent, stable, and balanced risk levels. However, the financial market is greatly affected by the macroeconomic situation. The company will intervene appropriately and timely according to the economic situation and changes in the financial market, but it cannot be ruled out that this investment may be affected by market fluctuations.

(II) Risk Control Measures

1. After the board of directors approves the resolution, within the validity period of the resolution, investment amount, and investment types, the board authorizes the chairman to decide specific matters related to wealth management, sign or authorize the financial officer to sign contracts, agreements, and other legal documents related to the purchase of wealth management products, and handle relevant procedures. The company's finance department will promptly analyze and track the direction of investments and project progress. If any unfavorable factors are discovered or judged, it is necessary to promptly take corresponding preservation measures to control investment risks.

2. The company has established a special system for the management of its funds in accordance with relevant laws and regulations, standardized the approval and execution procedures for cash management, and ensured the effective implementation and standardized operation of cash management matters.

3. Independent directors and the board of supervisors have the right to supervise and inspect the use of funds, and if necessary, can hire

Please have a professional organization conduct the audit.

4. The company will strictly comply with the relevant regulations such as the "Listing Rules for Sci-Tech Innovation Board of Shanghai Stock Exchange" to timely fulfill its information disclosure obligations.

III. Impact on the Company's Daily Production and Operations

In accordance with the principles of standardized operations, risk prevention, prudent investment, preservation, and appreciation, the Company's use of idle proprietary funds to purchase wealth management products has been implemented under the premise of ensuring daily operations. This move has not impacted the Company’s normal production and business activities. The use of idle proprietary funds for purchasing wealth management products can enhance the efficiency of utilizing such funds, increase the Company’s investment returns, and generate more rewards for the Company and its shareholders.

IV. Deliberation Procedures Required for the Use of Idle Proprietary Funds to Purchase Wealth Management Products

Nanjing Vishee Medical Technology Co., Ltd. held the second meeting of the third board of directors and the second meeting of the third board of supervisors on April 6, 2022, and reviewed and approved the "Proposal on the Use of Temporarily Idle Own Funds to Purchase Wealth Management Products." The company agreed to use no more than 800 million yuan of idle own funds to purchase wealth management products within 12 months from the date of approval by the board of directors. This matter falls within the decision-making authority of the company's board of directors and does not need to be submitted to the shareholders' meeting for review.

V. Explanation of Special Opinions

(1) Independent Director's Opinion

After verification, the independent directors of the company believe that the company’s current use of temporarily idle proprietary funds to purchase wealth management products is implemented on the premise of ensuring no impact on the normal development of the company’s main business and ensuring the company’s operational funding needs. Within 12 months from the date of approval by the board of directors, the company plans to use no more than RMB 800 million of idle proprietary funds to purchase bank principal-guaranteed and non-bank financial institution principal-guaranteed wealth management products (including but not limited to agreed deposits, structured deposits, fixed-income certificates, investment products with guaranteed returns, etc.) as well as medium-to-low risk products with high security and good liquidity. The overall risk is controllable, which will help improve the efficiency of fund utilization and achieve better investment returns for the company and its shareholders. This matter will not affect the company's daily capital turnover needs or the normal operation of its business, and it does not harm the interests of the company and all shareholders, particularly small and medium shareholders.

Therefore, the independent directors of the company unanimously agreed that the company should use no more than 800 million yuan of idle self-owned funds to purchase wealth management products.

(II) Opinions of the Board of Supervisors

After deliberation, the company's board of supervisors believes that: The company's use of temporarily idle proprietary funds to purchase wealth management products this time complies with the regulations of relevant laws, rules, and other normative documents such as the "Listing Rules for Sci-Tech Innovation Board Stocks of the Shanghai Stock Exchange." Under the premise of not affecting the normal development of the main business and ensuring the company’s operational funding needs, in order to improve the efficiency of using idle proprietary funds, reasonably utilize proprietary funds, increase the company’s investment returns, and bring more returns to the company and its shareholders. The board of supervisors agrees that within 12 months from the date of approval by the board of directors, the company may use no more than RMB 800 million of idle proprietary funds to purchase principal-guaranteed wealth management products from banks and non-bank financial institutions (including but not limited to agreed deposits, structured deposits, fixed-income certificates, investment products with guaranteed principal, etc.) and medium-to-low risk products with high security and good liquidity.

In summary, the Board of Supervisors agrees with the "Proposal on Using Temporarily Idle Own Funds to Purchase Wealth Management Products."

6. Online Announcement Attachments

(1) Independent Opinion of the Independent Directors of Nanjing Vishee Medical Technology Co., Ltd. on Relevant Matters of the Second Meeting of the Third Board of Directors.

Hereby announced.

Nanjing Vishee Medical Technology Co., Ltd.

Board of Directors

April 7, 2022

Stock Code: 688580 Stock Abbreviation: VISHEE Announcement No.: 2022-009

Nanjing Vishee Medical Technology Co., Ltd.

Announcement of the Resolution of the Second Meeting of the Third Board of Supervisors

The Supervisory Board and all supervisors of this company guarantee that there are no false records, misleading statements, or significant omissions in the content of this announcement, and they bear legal responsibility for the authenticity, accuracy, and completeness of its content.

I. convening of the board of supervisors meeting

Notice of the Second Meeting of the Third Supervisory Committee of Nanjing Vishee Medical Technology Co., Ltd. (hereinafter referred to as "the Company") was sent to the supervisors in writing on April 1, 2022. The meeting was held in the company's conference room on April 6, 2022, via a combination of on-site and telecommunication methods. The meeting was chaired by Mr. Hu Ping, Chairman of the Supervisory Committee. All three supervisors who were expected to attend the meeting were present. The convening of this meeting complied with the relevant provisions of the "Company Law of the People's Republic of China," the "Rules for the Listing of Sci-Tech Innovation Board Stocks on the Shanghai Stock Exchange," and other related laws, administrative regulations, normative documents, as well as the "Articles of Association of Nanjing Vishee Medical Technology Co., Ltd."

II. Review of the Supervisory Board Meeting

(I) Review and approve the "Proposal on the Use of Temporarily Idle Own Funds to Purchase Wealth Management Products"

After deliberation, the company's board of supervisors believes that: The company’s current use of temporarily idle proprietary funds to purchase wealth management products complies with the provisions of relevant laws, regulations, rules, and other normative documents such as the "Shanghai Stock Exchange STAR Market Stock Listing Rules." Under the premise of not affecting the normal development of the company’s core business and ensuring the company’s operational funding needs, in order to improve the efficiency of using idle proprietary funds, utilize proprietary funds reasonably, increase the company’s investment returns, and bring more returns to the company and its shareholders. The board of supervisors agrees that within 12 months from the date of approval by the board of directors, the company may use no more than RMB 800 million of idle proprietary funds to purchase principal-guaranteed wealth management products from banks and non-bank financial institutions (including but not limited to agreed deposits, structured deposits, fixed-income certificates, investment products with guaranteed returns, etc.), as well as medium-to-low risk products with high security and good liquidity.

Voting results: 3 votes in favor, 0 votes against, 0 abstentions;

Voting Result: Unanimously passed by all supervisors.

For more details, please refer to the announcement titled "Nanjing Vishee Medical Technology Co., Ltd. Announcement on the Use of Temporarily Idle Own Funds to Purchase Wealth Management Products" (Announcement No.: 2022-008) disclosed on the Shanghai Stock Exchange website (www.sse.com.cn) on the same day.

Hereby announced.

Nanjing Vishee Medical Technology Co., Ltd.

Board of Supervisors

April 7, 2022