Beijing Origin Water Technology Co.,Ltd (SZSE:300070) signed an agreement to acquire remaining 49.85% stake in Beijing Jiuan Construction & Investment Group Co. Ltd. from Chen Guizhen, Yang Zhongchun, Huang Jing and Wu Zhongquan for CNY 1.2 billion in cash and stock on October 28, 2015. As consideration, Beijing Origin Water Technology Co.,Ltd will pay CNY 110 million in cash and will issue 30 million shares at CNY 37.41 per share, of which, Huang Jing will receive cash of CNY 110 million and 0.36 million shares, all other sellers will receive consideration in stock. On completion, Beijing Jiuan Construction & Investment Group Co. Ltd. will become a wholly-owned subsidiary of Beijing Origin Water Technology Co.,Ltd.

Beijing Jiuan Construction & Investment Group Co. Ltd. reported total assets of CNY 1.5 billion, total owner's equity of CNY 475.15 million, revenue of CNY 1.6 billion, operating profit of CNY 180.68 million and net profit of CNY 135.58 million for the year ending December 31, 2014. The transaction is subject to approval from the shareholders of Beijing Origin Water Technology Co.,Ltd and approval of the China Securities Regulatory Commission. The transaction was approved by the Board of Beijing Origin Water Technology Co.,Ltd and the shareholders of Beijing Jiuan Construction & Investment Group Co. Ltd. On November 23, 2015, the shareholders' of Beijing Originwater Technology Co., Ltd approved the transaction. CITIC Securities Company Limited acted as financial advisor, Dacheng Law Offices acted as legal advisor and Daxin Certified Public Accountants Co., Ltd. acted as an accountant for Beijing Origin Water Technology Co.,Ltd.