Xiamen Shengtun Hongruize Industrial Co., Ltd. agreed to acquire remaining 45% stake in Guangdong Weilibang Wood Industry Co., Ltd. from Shenzhen Chengxin Lithium Group Co.,Ltd. (SZSE:002240) for approximately CNY 350 million on April 2, 2021. Under the terms, first installment of 10% is paid within 30 days from the approval of shareholders, 50% of transfer price is paid after the approval of industrial and commercial registration authority and shall not exceed DECEMBER 31, 2021 and final payment of 40% will paid not before March 31, 2022. After the transaction, Xiamen Shengtun Hongruize Industrial will hold 100% Guangdong Weilibang Wood Industry.

The Balance sheet items for Guangdong Weilibang Wood Industry as on September 30, 2020, are total assets of CNY 1.1 billion and net assets of CNY 628.9 million. The transaction is subject to approval of shareholders of Xiamen Shengtun Hongruize Industrial and is approved by the Board of Directors of Xiamen Shengtun Hongruize Industrial. As on April 2, 2021, the transaction has been approved by the Board of Chengxin Lithium Group and by its shareholders on April 21, 2021.