AVIC Shenyang Aircraft Company Limited (SHSE:600760), formerly known as Zhonghangheibao Co.,Ltd, announced a private placement of not more than 200,000,000 A shares at a price of CNY 8.34 per share for gross proceeds of not more than CNY 1,668,000,000 in November 2016. The transaction will include participation from Aviation Industry Corporation of China for 140,000,000 for CNY 1,167,600,000, Avic Electromechanical Systems Inc for 60,000,000 shares for CNY 206,800,000. The shares being issued will be subject to a lock-in period of 36 months from closing.

The Military matters relating to this transaction have been reviewed by authorities of Administration of Science, Technology and Industry for National Defense. The transaction has been approved at its 23rd session of the 7th directorate and by State-owned Assets Supervision and Administration Commission of the State Council. The transaction is subject to approval by the directorate, State-owned Assets Supervision and Administration Commission of the State Council authorities, shareholders, and China Securities Regulatory Commission.