The9 Announces Cancellation of Warrants and Investment in the Initial Public Offering of Nano Labs

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Jul 14, 2022, 18:00 ET

SHANGHAI, July 14, 2022 /PRNewswire/ -- The9 Limited (NASDAQ: NCTY) ("The9" or the "Company") today announced that it has entered into a cancellation agreement with JPKONG LTD. and Qifeng Sun Ltd., entities controlled by Mr. Jianping Kong and Mr. Qifeng Sun, respectively, to cancel the Tranche IV Warrants that were issued to them pursuant to a share subscription and warrant purchase agreement dated January 25, 2021 among The9, JPKONG LTD., Qifeng Sun Ltd. and other parties named thereto (the "Purchase Agreement"). The Tranche IV Warrants that were cancelled represented the warrants to purchase 23,099,093 Class A ordinary shares of the Company at the exercise price of US$0.2667 per Class A ordinary share issued to JPKONG LTD. and the warrants to purchase 11,549,547 Class A ordinary shares of the Company at the exercise price of US$0.2667 per Class A ordinary share issued to Qifeng Sun Ltd. pursuant to the Purchase Agreement. Such cancellation will not affect the terms or conditions of any other warrants issued pursuant to the Purchase Agreement.

The9 also announced that, as approved by the board of directors of the Company and its audit committee, the Company has made a US$3 million strategic investment in the initial public offering of Nano Labs Ltd (NASDAQ: NA) ("Nano Labs"), a company controlled by Mr. Jianping Kong and Mr. Qifeng Sun. The Company subscribed for, and has been allocated an aggregate of 260,642 American depositary shares ("ADSs") of Nano Labs.

About The9 Limited

The9 Limited (The9) is an Internet company listed on Nasdaq in 2004. The9 aims to become a global diversified high-tech Internet company, and is engaged in blockchain business including the operation of cryptocurrency mining and Metaverse celebrity social platform NFTSTAR.

SOURCE The9 Limited