China YuHua Education Corporation Limited (SEHK:6169) won an auction to acquire additional 7.2% stake in Hunan Lie Ying Industry Co., Ltd. from Chen Zhengxian for approximately CNY 140 million on September 25, 2020. In a related transaction, China YuHua Education entered into an agreement to acquire 22.8% stake in Hunan Lie Ying from Guangdong Nanbo Education Investment Pte Ltd. for approximately CNY 580 million. Upon completion of the Acquisitions, Hunan Lie Ying will become indirectly wholly-owned subsidiary of China YuHua. The Directors of China YuHua consider that the the acquisitions are fair and reasonable and on normal commercial terms and are in the interests of China YuHua and its shareholders as a whole. China YuHua Education Corporation Limited (SEHK:6169) completed the acquisition of 7.2% stake in Hunan Lie Ying Industry Co., Ltd. from Chen Zhengxian on December 31, 2020.