CIMC Enric Holdings Limited (SEHK:3899) entered into an agreement to acquire Sinopacific Offshore & Engineering Co., Ltd. for approximately CNY 800 million on July 5, 2017. Out of the total consideration, CNY 50 million will be paid as a security deposit within 15 days of the agreement and remaining will be paid before closing. The consideration is subject to adjustment downwards in case the total assets of Sinopacific Offshore & Engineering decreases after due diligence. In the event there is increase in the assets, the surplus amount will be distributed among all the creditors of Sinopacific Offshore & Engineering. The transaction will be financed by internal resources and bank loans. For the year ended December 31, 2016, Sinopacific Offshore & Engineering reported net loss of CNY 3.2 billion and as at December 31, 2016, net liabilities of CNY 3.2 billion, and total assets of CNY 1.7 billion. The transaction is subject to approval from the creditors of Sinopacific Offshore & Engineering and approval of Qidong City People’s Court. On June 28, 2017, Board of CIMC Enric Holdings Limited approved the transaction. On August 4, 2017, the transaction was approved by the creditors of Sinopacific Offshore & Engineering and Qidong City People’s Court.