On April 28, Q Technology (Group) Co., Ltd. ("the Company") announced that it has received a notification from its controlling shareholder, Q Technology Investment Inc. ("Q Technology Investment"),regarding the signing of a framework agreement with TDK Corporation("TDK", a limited liability company incorporated in Japan whose shares are listed on the Tokyo Stock Exchange Main Board (Stock Code: 6762)). The framework agreement pertains to the acquisition of the assets and business of micro actuator solutions, which involves the development, design, manufacturing and sales of camera module actuators ("the Business"). According to the framework agreement, Q Technology Investment shall acquire or designate its subsidiary or individual to acquire the Business. In the event that Q Technology Investment decides to transfer this acquisition opportunity to any of its subsidiaries (including the Company) for consideration, the Board of Directors of the Company will prudently evaluate and assess this potential acquisition opportunity which will be subject to further due diligence, valuation of the Business, necessary approvals from internal and external regulatory authorities and compliance with the listing rules. As of the date of this announcement, the Company has not entered into any arrangement or definitive agreement regarding the transaction under the framework agreement, nor has it made any commitment to Q Technology Investment to acquire the Business under the agreement that the acquisition opportunity shall be transferred to the Company. Should there be any significant developments, the Company will make further announcements in a timely and appropriate manner in accordance with the requirements of the listing rules.

Against the backdrop of global industrial chain restructuring and the accelerated iteration of intelligent vision technologies, the Company firmly believes that intelligent vision system products have broad and long-term application in fields such as smartphones, smart vehicles, smart homes, outdoor sports recording, embodied robotics and the Internet of Things (IoT) with promising prospects. The Group has consistently adhered to a vertical integration strategy, resolutely advancing platform strategies, device strategies and system integration strategies, aiming to provide integrated solutions of intelligent vision for smart terminals. Among these, micro actuators have always been a key focus in developing upstream component capabilities, significantly impacting the functionality, performance and size of camera modules. TDK is a global leader in the high-end micro actuator field, possessing thousands of intellectual property rights related to micro actuators for camera modules, leading the industry in both quantity and quality. According to explaination of  Q Technology Investment, this acquisition will encompass all of TDK's assets and personnel associated with the micro actuator business for camera modules, including a large number of leading patents and mature technics across various technical approaches such as suspension wires, guide rods, shape memory alloys (SMA) and ball type actuator. It will also involve over 100 professional and experienced development&D personnel, multiple industry-leading premium customers and a multinational layout including a factory in Philippines. By combining this acquisition with the micro actuator businesses already operated by Heyuan Yohua(a related company) and Xiamen Zhonghui(a related company), Q Technology Investment is expected to establish an industry-leading enterprise that fully integrates R&D, production and sales of micro actuators across high, medium and low-end markets.

As an important participant in Q Technology Investment's strategic layout, the Company possesses plentiful technical accumulation and rich practical experience in the intelligent vision field. This new vertical integration initiative by Q Technology Investment also brings more resources and opportunities to the Company, enabling better resource sharing and collaborative development, thereby enhancing overall operational efficiency and competitiveness. Under the leadership of Mr. He (Chairman of Board of the Company), the Company will continue to uphold its mission of "Illuminating Things", actively seizing market opportunities, embracing challenges, striving to create greater value for shareholders and contributing more to the development of the intelligent vision industry.