XtalPi secures 125 million platform project support from Shenzhen's 2025 strategic emerging industries

Announcement of Proposed Funded Projects under the Second Batch of the 2025 Strategic Emerging Industry Support Plan (Biopharmaceuticals, High-End Medical Devices, and the Big Health Sector)

I. Project Overview and Timeline
• Announcement Date: April 20, 2026
• Announcement Period: 5 working days, ending on April 27
• Project Name: Shenzhen Intelligent Autonomous Drug R&D Public Service Platform Establishment Project
• Construction Period: November 2025 to October 2028
• Total Investment Amount: 125.00 million yuan (i.e., 125 million yuan)
• Number of Projects in this Announcement: 67 projects were selected, with 61 projects proposed for funding. XtalPi received the highest funding amount, accounting for 16.79% (average 11.1 million per project).

II. Funding Process, Number of Projects, and XtalPi's Share
According to the "Shenzhen Development and Reform Commission Special Fund Operation Procedures for Strategic Emerging Industries," the process is roughly as follows:
• After the announcement period passes without objections, the Municipal DRC issues project approval documents or signs project contracts;
• The funding is incorporated into the departmental budget on an annual basis;
• Projects belong to the phased funding category (common types include innovation capacity building, platform establishment, etc.). Funds are typically disbursed in installments (e.g., based on project progress, investment completion ratio), not as a one-time lump sum;
• Final disbursement requires project implementation management, acceptance inspection, and other steps. The Municipal DRC (or finance department) processes the payment according to the centralized treasury payment system.

Thoughts: This is a positive development at the macro level, reflecting the Shenzhen municipal government's strategic support for XtalPi's AI+drug R&D public platform. However, it is currently still in the "proposed funding" stage. The funds will be disbursed via the centralized treasury payment system in installments, not as a one-time payment. The short-term impact on the stock price is limited. The market is more focused on the company landing large commercial orders and delivering on its performance. The long-term benefit lies in strengthening the company's platform capabilities, promoting technological accumulation, ecosystem building, and revenue diversification. It serves as a medium-to-long-term strategic catalyst.

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