● Zhaoke Ophthalmology Limited ("Zhaoke Ophthalmology" or the "Company") completed its Series B fundraising by issuing Series B Subscription Shares for a consideration of approximately US$145 million.

● The Subscription, which received positive market response, was jointly led by Hillhouse Capital and TPG Capital (in alphabetical order) and co-led by Loyal Valley Capital and other private equity firms, while the majority of shareholders of Series A preferred shares also participated in the Subscription.

● An affiliate company of the Shenzhen Stock Exchange listed Aier Eye Hospital Group Co., Ltd. and the OrbiMed group of entities were also on the list of Series B investors.

● Assuming conversion in full of the preferred shares, Lee's Pharmaceutical Holdings Limited stake in Zhaoke Ophthalmology will be reduced to approximately 34.1% from approximately 48.5%.

● The funding will be used to support Zhaoke Ophthalmology for the development of its ophthalmic business and technologies and the future commercialization of more than 20 proprietary products and difficult-to-manufacture generics (ranging from pre-clinical to registration stage) for the Chinese and ASEAN markets.

On 9 October 2020, Zhaoke Ophthalmology, entered into a subscription agreement with investors to issue an aggregate of 317,210 Series B preferred shares ("Series B Subscription Shares") to investors for a total consideration of approximately US$145 million (the "Subscription"). Formerly known as China Ophthalmology Focus Limited, Zhaoke Ophthalmology is engaged mainly in the development and manufacturing of ophthalmic drugs.

The Subscription, which received strong market response, was jointly led by Hillhouse Capital and TPG Capital (in alphabetical order) and co-led by Loyal Valley Capital and other private equity firms, while the majority of shareholders of Series A preferred shares of Zhaoke Ophthalmology also participated in the Subscription, including Coyote Investment Pte. Ltd. and Panacea Venture HealHealthcare Fund I, L.P.. The OrbiMed group of entities, an affiliate company of the Shenzhen Stock Exchange listed Aier Eye Hospital Group Co., Ltd. and Lee's Healthcare Industry Fund L.P. were also on the list of Series B investors.

Assuming conversion in full of the preferred shares, Lee's Pharmaceutical Holdings Limited's indirect interest through Lee's Pharmaceutical International Limited and Lee's Healthcare Industry Fund L.P. in Zhaoke Ophthalmology will be reduced to approximately 34.1% from approximately 48.5%.

 Dr. Li Xiaoyi, Chairman of the Board, Executive Director and CEO of Zhaoke Ophthalmology, said, "we are thrilled to have completed this Series B fundraising with strong support from new and previous investors, which are among the most recognized and respected players in the biotech industry, to help pave Zhaoke Ophthalmology's path towards possible spin-off and a separate listing in the future. The funding will provide further resources for us to uphold our commitment to drug innovation and development in various ophthalmic indications, and enable significant growth and rapid scaling for Zhaoke Ophthalmology while it positions itself as an ophthalmic pharmaceutical company dedicated to the discovery, development and commercialization of therapies that address significant unmet medical needs in China."