Securities Code: 688029 Securities abbreviation: South Micro Medical Bulletin No.: 2023-007.

Nanwei Medical Technology Co., Ltd.

Prompt Announcement of Shareholders Holding More than 5% of Shares

the company's board of directors, all directors and relevant shareholders to ensure that the contents of this announcement does not exist any false records, misleading statements or major omissions, and the authenticity, accuracy and completeness of the contents of the legal responsibility.

Important Content Tips:

This equity change belongs to the implementation of the previously disclosed reduction plan, South Micro Medical Technology Co., Ltd.

(hereinafter referred to as the "Company") to implement the restricted stock incentive plan resulting in passive dilution, does not touch the offer, does not involve the source of funds.

This change in equity will not result in a change in the Company's situation without a controlling shareholder or actual controller,

It will not have a significant impact on the corporate governance structure and ongoing operations.

After this equity change, the information disclosure obligor Huakang Limited (hereinafter referred to as the "Huakang"

or "Disclosure Obligor") holds 19,519,543 shares of the Company, reducing its share of the Company's total share capital from 15.39 per cent to 10.39 per cent.

On February 20, 2023, the Company received a Huakang from shareholders holding more than 5% of the shares.

Change Report, the relevant changes in equity are hereby announced as follows.

1. this change in equity

The basic situation of the (I) information disclosure obligor.

Name Huakang Limited

Registered address ROOM 8107-08,81/F.,INTERNATIONAL COMMERCE CENTRE,

1 AUSTIN ROAD WEST, KOWLOON,HONG KONG

Limited of major shareholder Evergreen Enterprises Holdings

Registered capital HK $1

Company Type Limited

Business scope Equity investment, asset management, not related to the company's main business.

Date of Establishment September 2, 2016

Legal Representatives Zhang Junjie and Shen Qinhua

Communication ROOM8107-08,81/F., INTERNATIONAL COMMERCE

CENTRE,1 AUSTIN ROAD WEST, KOWLOON, HONG KONG

Information Disclosure Obligor's Directors and Their Principal Responsible Persons

Name, position, gender, nationality, long-term residence, whether other countries have been acquired

or right of abode in the area

Zhang Junjie Director Male China Beijing No

Shen Qinhua Director Male China Zhejiang No.

As of the date of the announcement, the Huakang does not hold or control more than 5% of the outstanding shares of other listed companies.

(II) Basic information on this equity change

On December 22, 2021, the Company implemented the 2020 Restricted Stock Incentive Plan to grant certain shares for the first time.

The first vesting period of the first vesting period and the completion of the registration of shares, the total share capital of the company increased from 133,340,000 shares to 133,747,220 shares. After the share capital change, the number of shares held by the information disclosure obligor has not changed, and the shareholding ratio has been reduced from 15.39 per cent to 15.35 per cent.

On June 10, 2022, the Company implemented the capitalization of capital reserves and completed share registration to implement

The total share capital on the date of registration of the equity distribution in 2021 shall be the base, and the capital reserve shall be paid to all shareholders for every 10 shares.

Transfer of 4 shares, a total increase of 53,498,888 shares, after the transfer of the company's total share capital increased from 133,747,220 shares.

to 187,246,108 shares. The number of shares held by the disclosure obligor increased from 20,524,600 to 28,734,440 shares, with no change in the percentage of shares held.

During the period from August 26, 2022 to December 29, 2022, the information disclosure obligor through centralized competition

A total of 3,750,575 shares of the Company were reduced by way of price and block trading, with the number of shares held from 28,734,440 shares.

Reduced to 19,525,196 shares. On December 29, 2022, the Company implemented the 2020 Restricted Stock Incentive Plan.

The second vesting period for the first grant of part of the shares, the first vesting period for the reserved grant of incentive objects and the completion of share registration, the total share capital of the company increased from 187,246,108 shares to 187,811,442 shares. In summary, the shareholding of the disclosure obligor decreased from 15.35 per cent to 10.40 per cent.

During the period from December 30, 2022 to February 20, 2023, the information disclosure obligor through centralized competition

price to reduce the number of shares in the Company from 19,525,196 to 19,519,543,

The shareholding was reduced from 10.40 per cent to 10.39 per cent.

Before and after this equity change in 2., the shares of the Company held by the information disclosure obligor

Nature of shares: Shares held before the change in equity Shares held after the change in equity

Shareholder Unlimited Sale Conditions

Name Number of shares outstanding (shares) as a percentage of total share capital Number of shares (shares) as a percentage of total share capital

(%) Examples (%)

Total 20,524,600 15.39 held 19,519,543 10.39

Shares

Huakang

Limited

Among them, unlimited 20,524,600 15.39 19,519,543 10.39

sale condition shares

Follow-up matters involved in 3.

1. This equity change is to fulfill the share reduction plan of more than 5% of the non-first major shareholder Huakang and the passive dilution caused by the company's implementation of the restricted stock incentive plan, which does not touch the tender offer and does not involve the source of funds.

2. This equity change will not cause the company to have no controlling shareholder or actual controller to change, and will not have a significant impact on the company's governance structure and continuous operation.

3. According to the "the People's Republic of China Securities Law", "Administrative Measures for the Acquisition of Listed Companies" and "Guidelines for the Content and Format of Information Disclosure by Companies Offering Securities to the Public No. 15-Report on Changes in Equity" and other laws, regulations and regulatory documents, this time The information disclosure obligor involved in the equity change has disclosed the simplified equity change report, for details, please refer to the "Report on Changes in Equity of Nanwei Medical Technology Co., Ltd." disclosed on the website of the Shanghai Stock Exchange (www.sse.com.cn) on the same day.

It is hereby announced.

Board of Directors of South Micro Medical Technology Co., Ltd.

22 February 2023