Baoding Lucky Innovative Materials Co.,Ltd (SZSE:300446) agreed to acquire CHENGDU SPACE MOULD & PLASTICS CO.,LTD from Sichuan Aerospace Industry Group Co., Ltd., Sichuan Aerospace Liaoyuan Science and Technology Co., Ltd. and a group of other individuals for CNY 1.1 billion on February 11, 2022. CHENGDU SPACE MOULD & PLASTICS CO.,LTD has reported total assets of CNY 0.467605 million and net assets of CNY 0.077414 million on April 30, 2022. The Board of China Lucky and Baoding Lucky approved the deal. On April 27, 2022, the National Defense Science, Technology and Industry Bureau completed the review and approval of the military-related matters of this transaction. The transaction is subject to assets supervision and administration authority, China Securities Regulatory Commission and general meeting of shareholders of Baoding Lucky. As on November 23, 2022, The competent authority of the State-owned Assets Supervision and Administration Commission approved the formal plan of this transaction on November 16, 2022. The shareholders of Baoding Lucky Innovative Materials has approved the transaction on November 21, 2022. The general meeting of shareholders of Baoding Lucky Innovative Materials exempted Aerospace Science and Technology Corporation and its related parties from the obligation of tender offer involved in this transaction on November 21, 2022. The board of Baoding Lucky Innovative Materials has reviewed and approved relevant proposals for this transaction on 20th meeting of the 4th board of directors held on November 23, 2022. Baoding Lucky Innovative Materials has hold 16th meeting of the 4th board of supervisors to review and approve relevant proposals for this transaction. After friendly negotiation between all parties, according to the principle that the issue price is not lower than 80% of the average stock trading price of Baoding Lucky Innovative Materials in the 120 trading days prior to the pricing base date, the issue price of the shares for purchasing assets by issuing shares this time is CNY 7.13 per share. The final issue price still needs to be approved by SZSE and approved or registered by CSRC. The total volume of issued shares involved in Baoding Lucky Innovative Materials's issuance of shares to purchase assets is 463,302,932 shares. The shares of Baoding Lucky Innovative Materials acquired by Sichuan Aerospace Group, Chuannan Pyrotechnic, Liaoyuan Science and Technology, and Aerospace Investment Holdings due to the issuance of shares to purchase assets shall not be transferred within 36 months from the date of completion of the issuance of such shares, However, the transfer between different entities controlled by the same actual controller is excluded. Within 6 months after the issuance of shares related to the purchase of assets through the issuance of shares, if the closing price of the stock of Baoding Lucky Innovative Materials for 20 consecutive trading days is lower than the issuance price of the shares for the purchase of assets through the issuance of shares, or the closing price at the end of the 6-month period after the completion of the issuance of shares related to the purchase of assets by shares issued this time is lower than the issuance price of shares for the purchase of assets by shares issued this time, the shares subscribed by Sichuan Aerospace Group, Chuannan Pyrotechnic, Liaoyuan Science and Technology, and Aerospace Investment Holdings will be automatically extended for 6 months on the basis of the above-mentioned restricted period. Under the agreement, Sichuan Aerospace Group will sell 43.4504% stake, Liaoyuan Science and Technology will sell 23.6924% stake, Jiao Xingtao will sell 11.9048% stake, Cao Zhenhua will sell 4.2857% stake, Jiao Jian will sell 4.2857% stake, Jiao Bo will sell 4.2857% stake, Zhang Jicai will sell 1.6667% stake, Cao Jian will sell 0.7143% stake, Chen Yanmin will sell 0.4762% stake, Xu Bin will sell 0.4762% stake, He Li will sell 0.4762% stake, Liu Jianhua will sell 0.4762% stake, Cao Zhenfang will sell 0.4762% stake, Han Gang will sell 0.4762% stake, Deng Yixue will sell 0.4762% stake, Guo Hongjun will sell 0.4762% stake, Zhang Zheng will sell 0.4762% stake, Cao Zhenxia will sell 0.3167% stake, Ji Jianbo will sell 0.2857% stake, Sui Guibin will sell 0.0952% stake, Qi Mingxuan will sell 0.0714% stake, Su Tongguang will sell 0.0714% stake, Rong Jian will sell 0.0714% stake, Hu Gongji will sell 0.0714% stake, Yuan Qu will sell 0.0714% stake, Zhang Huiwu will sell 0.0714% stake, Zhang Yong will sell 0.0714% stake, Jiao Jianwei will sell 0.0643% stake, Le Xuhui will sell 0.0476% stake, Li Xia will sell 0.0476% stake, Li Shoufu will sell 0.0476% and Li Fenglin will sell 0.0238% stake in Chengdu SPACE Mould & Plastics. As of May 8, 2023, the transaction is approved by board of directors of Baoding Lucky Innovative Materials Co.,Ltd. On May 26, 2023 Recently, the Company received ?Announcement of the Results of the 5th Meeting of 2023 of the Shenzhen Stock Exchange M&A and Reorganization Review Committee approved the transaction. As of June 29, 2023, the company received the "Reply on Approving the Registration of Baoding Lucky Innovative Materials Co., Ltd. to Issue Shares to Purchase Assets and Raise Supporting Funds" issued by the China Securities Regulatory Commission.

China International Capital Corporation Limited (SEHK:3908) acted as financial advisor, Zhong Lun Law Firm acted as legal advisor and Grant Thornton China acted as accountant to Baoding Lucky Innovative.

Baoding Lucky Innovative Materials Co.,Ltd (SZSE:300446) completed the acquisition of CHENGDU SPACE MOULD & PLASTICS CO.,LTD from Sichuan Aerospace Industry Group Co., Ltd., Sichuan Aerospace Liaoyuan Science and Technology Co., Ltd. and a group of other individuals on July 12, 2023.