Anhui Ankai Automobile Co., Ltd (SZSE:000868) announced that it signed conditional private placement share subscription agreement to issue not more than 81,0001,472 A shares at CNY 6.79 per share for gross proceeds of not more than CNY 550,000,000 on January 23, 2017. The transaction will include participation from Anhui Jianghuai Automobile Group Corp.,Ltd. and The Purchasing Industry Holding Co., Ltd. for CNY 200,000,000 and CNY 350,000,000 respectively. The company will receive net proceeds of CNY 535,840,000.

The transaction was approved by the company's 7th directorate in its 2nd meeting and is subject to approval from its board of directors, approval from the state-owned assets department, approval from the its shareholders, and approval from China Securities Regulatory Commission. Shares subscribed will have a lock-up period of 36 months after issuance completion within which they cannot be transferred.