Ginnva held the Thirty-fifth Meeting of the Third Session of the Board of Directors and the Twenty-sixth Meeting of the Third Session of the Supervisory Board of the Company on October 17, 2023, and considered and passed the "Proposal on the Use of Proceeds to Increase Capital to Wholly-owned Subsidiary for the Implementation of the Proceeds-Investment Project", and agreed that the Company would use the proceeds of RMB50 million to increase capital to its wholly-owned subsidiary Anhui Jinghua for the implementation of the Proceeds-Investment Project "Annual output of OCA optical film tape 26 million square meters, silicone protective film 21 million square meters, release film 40 million square meters project".

--Excerpted from "Ginnva's Announcement on the Use of Proceeds to Increase Capital to Wholly Owned Subsidiaries for the Implementation of Proceeds Project"

What is OCA Optical Adhesive?

OCA Optically Clear Adhesive (Optically Clear Adhesive) is a kind of special adhesive used for transparent optical components, which is mainly made of optical acrylic adhesive without substrate, and then laminated with a layer of customized release film on the upper and lower sides to form a kind of high-transparent double-sided adhesive tape without substrate. This type of tape is characterized by high clarity, high light transmission, high adhesion, water resistance, high temperature resistance, and UV resistance.

As one of the important components of the structure of the touch screen, OCA is widely used in the adhesion of various materials on the touch screen to achieve a variety of functions, including cell phones, laptops, tablet PCs, car monitors, etc. 3C field with the gradual promotion of folding screen cell phones to adapt to the needs of the folding folding OCA products also came into being. In the automotive field, in recent years, with the rise of intelligent cars, car screen from the past a piece of the center control screen to increase to large-size through the screen, instrumentation display, rear entertainment screen, CMS electronic mirror display, etc., car-grade OCA demand increased significantly.

Screen display field in the past is the main supplier from Japan, the United States, South Korea and other countries of the foreign brands, to jinghua new material as a representative of domestic material suppliers through years of research and development, one after another began to realize the mass production of products and listed, began to compete head-on with foreign brands, and at the same time for the solution to the field of the display "neck" problem provides a new The solution. The implementation of this project demonstrates JHXM's determination to continue to invest in OCA bonding and will provide a strong guarantee for subsequent business growth.