WiMi's investment history in MicroAlgo

Shenzhen, China - October 24, 2025 - WiMi Hologram Cloud Inc. (NASDAQ: WIMI) ("WiMi" or the "Company"), a leading global provider of Hologram Augmented Reality ("AR") Technology, today issued a statement to clarify certain facts concerning its convertible debt and equity investments in its subsidiary, MicroAlgo Inc. (NASDAQ: MLGO) ("MicroAlgo"), emphasizing its commitment to long-term value creation and stable governance.

Key highlights from WiMi's investment history in MicroAlgo include:

October 2024 Convertible Note Purchase Agreement: WiMi invested up to $23 million in convertible notes. Tranches were issued converted as follows:

October 2024 Tranche 1: Issued $5 million principal; partially converted into 27,942,858 Class B shares at a nominal price of $0.07 per share. The effective as-adjusted price accounting for all subsequent consolidations is $42 per share.

December 2024 Tranche 2: Issued $10 million principal; partially converted into 10,000,000 Class B shares at a nominal price of $0.70 per share. The effective as-adjusted price accounting for the subsequent consolidation is $21 per share.

March 2025 Tranche 3: Issued $10 million principal; fully converted the remaining amounts from prior tranches plus the new issuance into 34,878,261 Class B shares at a nominal price of $0.46 per share. The effective as-adjusted price accounting for the subsequent consolidation is $13.8 per share.

June 2025 Convertible Note Purchase Agreement: WiMi invested $32.2 million in a convertible note, fully converted into 152,173,914 Class A shares at a nominal price of $0.23 per share. The effective as-adjusted price accounting for the subsequent consolidation is $6.9 per share.

Share Purchase

January 2024 Direct Share Purchase: WiMi acquired 8,000,000 shares at a nominal price of $0.50 per share for $4 million, increasing its stake to 61.92%. The effective as-adjusted price accounting for all subsequent consolidations is $3,000 per share.

To further demonstrate its dedication to MicroAlgo's long-term value creation and stable governance, WiMi has committed to 10-year lock up agreements on all holdings of MicroAlgo, with no plans for sales or transfers.

About MicroAlgo Inc.

MicroAlgo Inc. (the "MicroAlgo"), a Cayman Islands exempted company, is dedicated to the development and application of bespoke central processing algorithms. MicroAlgo provides comprehensive solutions to customers by integrating central processing algorithms with software or hardware, or both, thereby helping them to increase the number of customers, improve end-user satisfaction, achieve direct cost savings, reduce power consumption, and achieve technical goals. The range of MicroAlgo's services includes algorithm optimization, accelerating computing power without the need for hardware upgrades, lightweight data processing, and data intelligence services. MicroAlgo's ability to efficiently deliver software and hardware optimization to customers through bespoke central processing algorithms serves as a driving force for MicroAlgo's long-term development.

Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements." Forward-looking statements are subject to numerous conditions, many of which are beyond the control of MicroAlgo, including those set forth in the Risk Factors section of MicroAlgo's periodic reports on Forms 10-K and 8-K filed with the SEC. Copies are available on the SEC's website, www.sec.gov. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, MicroAlgo's expectations with respect to future performance and anticipated financial impacts of the business transaction.

MicroAlgo undertakes no obligation to update these statements for revisions or changes after the date of this release, except as may be required by law.

Contact

MicroAlgo Inc.

Investor Relations

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