Anchorstone Holdings Limited (SEHK:1592) entered into a non-legally binding memorandum of understanding to acquire Shanghai Pacific Marble and Granite Limited and Xiamen Yatai Hongkang Marble Limited from Lui Yue Yun Gary for HKD 76.5 million on April 3, 2020. Pursuant to the terms of the transaction, Anchorstone Holdings Limited will issue convertible bonds to settle the consideration. It is expected that if the consideration will be settled by way of cash, Anchorstone Holdings Limited will utilize its internal resources other than the net proceeds from its initial public offering in 2018. Lui Yue Yun Gary will be selling 90.48% stake in Shanghai Pacific Marble and Granite Limited and 100% stake in Xiamen Yatai Hongkang Marble Limited. The completion of the proposed transaction will be subject to the fulfillment of certain conditions precedent including, but not limited to, the approval of the proposed transaction by the independent shareholders and the stock exchange granting the listing approval for the conversion shares. Draco Capital Limited acted as financial advisor for Anchorstone Holdings Limited. As of September 14, 2020, Anchorstone Holdings Limited will sign a formal agreement to purchase high-quality assets after completion of due diligence and approval by the board of directors. Anchorstone Holdings Limited (SEHK:1592) cancelled the acquisition of Shanghai Pacific Marble and Granite Limited and Xiamen Yatai Hongkang Marble Limited from Lui Yue Yun Gary on April 3, 2021.