Chongqing Wanli New Energy Co., Ltd. (SHSE:600847) agreed to acquire a 48.95% stake in Chongqing Terui Battery Material Joint-Stock Co,Ltd from Chongqing Tongzheng Industrial Co., Ltd. and other shareholders on January 19, 2022. Under the terms, Chongqing Wanli New Energy will issue its 100% stake in Chongqing Wanli Power Technology Co., Ltd. (estimated value of CNY 680 million) as a put-out asset, to be exchanged for a total 48.95% stake in Chongqing Terui Battery Material Joint-Stock held by Chongqing Tongzheng Industrial Co., Ltd., Qiu Xiaowei, Qiu Xiaolan, Yang Zhihua, Hu Jing, Li Hao, Ye Rong, Xu Lijing, Wang Peizhu, Huang Zimin, Li Changrong, Hou Qiqi, Xing Suomao, Jiao Mao, Xu Wenxiang, Wu Hao, Long Taihua, Xu Lingyan, Fan Benli , Shi Maohu, and Liu Hong and the difference between the placed assets and the placed assets (estimated value of CNY 470,428,400), the Chongqing Wanli New Energy issues shares to purchase the difference from all counterparties. At the same time, Chongqing Wanli New Energy intends to raise no more than CNY 150 million of matching funds from a non-public offering of shares to no more than 35 specific investors that will be used to increase the capital of Chongqing Terui Battery Material Joint-Stock increasing Chongqing Wanli New Energy's stake to not be less than 51%. The transaction is approved by the board of Chongqing Wanli New Energy and remains subject to shareholders approval, China Securities Regulatory Commission and other necessary approvals, filings or authorizations. For the year ended April 30, 2022, Chongqing Terui Battery Material Joint-Stock Co,Ltd total assets CNY 1,305.4727 million and Owners' equity is CNY 339.43 million. Orient Securities Investment Banking Co., Ltd. acted as financial advisor and Haiwen & Partners acted as legal advisor to Chongqing Wanli New Energy Co., Ltd. (SHSE:600847) in the deal.

Chongqing Wanli New Energy Co., Ltd. (SHSE:600847) cancelled the acquisition of a 48.95% stake in Chongqing Terui Battery Material Joint-Stock Co,Ltd from Chongqing Tongzheng Industrial Co., Ltd. and other shareholders on December 12, 2022.