Chengdu Haoneng Technology Co., Ltd. (SHSE:603809) signed an Equity Transfer agreement to acquire the remaining 31.125% stake in Chengdu Haoyiqiang Aviation Equipment Manufacturing Co., Ltd. from Zhong Weihua for approximately CNY 130 million on August 23, 2021. Within 10 working days from the date of completion of the industrial and commercial registration change procedures for the subject equity, the buyer shall pay the balance of the first equity transfer amount of CNY 53.535 million or 40% of the consideration to the seller after withholding and paying relevant taxes and fees. The remaining 60% of the consideration shall be paid as follows: (i) 20% of the total price of the transaction, or CNY 26.7675 million shall be paid on 2022 within 10 working days after the buyer's 2021 Annual General Meeting of Shareholders is held if the target company's audited net profit after tax in 2021 will reach CNY 45 million; (ii) 20% of the total price of the transaction, or CNY 26.7675 million shall be paid on 2023 within 10 working days after the buyer's 2022 Annual General Meeting of Shareholders is held if the target company's audited cumulative after-tax net profit in 2021 and 2022 will reach CNY 95 million; and (iii) 20% of the total price of the transaction, or CNY 26.7675 million shall be paid on 2024 within 10 working days after the buyer's 2023 Annual General Meeting of Shareholders is held if the target company's audited cumulative after-tax net profit in 2021, 2022 and 2023 will reach CNY 155 million. The buyer will use its own funds to pay for the consideration. As of December 31, 2020, Chengdu Haoyiqiang Aviation Equipment Manufacturing reported total assets of CNY 1.39 trillion, net worth of CNY 730 billion, operating income of CNY 790 billion and net profit of CNY 386 billion. The transaction has been reviewed and unanimously approved at the fourth meeting of the company's fifth board of directors, and there is no need to submit it to the company's shareholders meeting for deliberation.