Dongfang Electric Corporation Limited (SEHK:1072) agreed to acquire stakes in Chengdu Dongfang Electric Clean Energy Co., Ltd., Dongfang Electric Chengdu Intelligent Technology Co., Ltd., Dongfang Electric Corporation Materials Co., Ltd., Dongfang Electric Group Finance Co., Ltd., Dongfang Electric Group Project Cargo Logistics Co., Ltd., Dongfang Electric International Corporation, 41.24% stake in Dongfang Hitachi (Chengdu) Electrical Control Equipment CO., LTD, Sichuan Dongfang Electric Autocontrol Engineering Co.,Ltd and certain assets from Dongfang Electric Corporation for CNY 4.6 billion on December 22, 2016. Dongfang Electric Corporation Limited signed an agreement with Dongfang Electric Corporation on March 7, 2017. Dongfang Electric Corporation Limited entered into the supplemental assets transfer agreement to acquire stakes in eight companies and certain assets from Dongfang Electric Corporation for CNY 5.2 billion on August 31, 2017. Dongfang Electric Corporation Limited will issue 766.86 million shares as consideration. Under the revised terms, Dongfang Electric Corporation Limited will acquire 95% stake in Dongfang Electric Group Finance Co., Ltd.,100% stake in Dongfang Electric International Corporation, Sichuan Dongfang Electric Automatic Control Engineering Co., Ltd., Dongfang Electric Corporation Materials Company, Dongfang Electric Group Project Cargo Logistics Co., Ltd., Dongfang Electric Chengdu Qingneng Technology Co., Ltd., Dongfang Electric Chengdu Intelligent Technology Co., Ltd., 41.24% stake in Dongfang Hitachi (Chengdu) Electrical Control Equipment Co., Ltd. and certain equipment assets from Dongfang Electric Corporation. Dongfang Electric Corporation Limited will issue 753.90 million shares as consideration subject to adjustment. Dongfang Electric Corporation intends that the existing business Dongfang Electric Co., Ltd. will continue, and it does not intend to introduce any major changes to the existing operations and business of the Dongfang Electric Co., Ltd. Dongfang Electric Corporation has no intention to make any major changes to the continued employment of the existing employees of Dongfang Electric Co., Ltd. and of its subsidiaries. The transaction plan needs to be approved by the State-owned Assets Supervision and Administration Commission of the State Council in principle and needs approval from the shareholders of Dongfang Electric Corporation Limited. This transaction needs approval from the China Securities Regulatory Commission, by the competent related industry regulatory authority, namely China Banking Regulatory Commission Sichuan Office, the independent shareholders approving whitewash waiver relating to the proposed acquisition, valuation reports of the target assets have been filed with State-owned Assets Supervision and Administration Commission and approval from the Anti-Trust Bureau of the Ministry of Commerce. The transaction has been approved by the State-owned Assets Supervision and Administration Commission of the State Council in principle and Board of Dongfang Electric Corporation Limited. The general meeting of Dongfang Electric Corporation Limited’s shareholders will be held on November 3, 2017. As of November 6, 2017, the proposed acquisition has been approved by the Board, Dongfang Electric Corporation has made the internal decision on the formal scheme of the proposed acquisition, the valuation reports of the target companies has been filed with the State-owned Assets Supervision and Administration Commission and the scheme of the proposed acquisition has been approved by the State-owned Assets Supervision and Administration Commission and the change in shareholder of DEC Finance has been approved or filed by the competent related industry regulatory authority, namely China Banking Regulatory Commission Sichuan Office have been fulfilled. As on November 23, 2017, shareholders of Dongfang Electric Corporation Limited approved the transaction. As of February 1, 2018, approval of transaction from China Securities Regulatory Commission is still under consideration. As on March 1, 2018, China Securities Regulatory Commission has approved the transaction. The transaction has obtained approval from Hong Kong Securities and Futures Commission regarding the whitewash waiver of Dongfang Electric Corporation. As on March 1, 2018, all the conditions precedents to the agreement have been fulfilled other than the Anti-Trust Bureau of the Ministry of Commerce. As on April 9, 2018, anti-trust approval is obtained and hence all conditions are fulfilled. An independent board committee comprising Chen Zhangwu, Gu Dake and Xu Haihe has been formed to advise the Independent Shareholders of Dongfang Electric Co., Ltd. in relation sale agreements. Gram Capital Limited acted as financial advisor to independent Board Committee and the independent holders of Dongfang Electric Corporation Limited. China Enterprise Asset Evaluation Co., Ltd acted as valuer in the deal. Citic Clsa Capital Markets Ltd acted as financial advisor, Yin Xiong, He Yang, Bao Dandan, Gao Shibo, Xue Wanbao, Xia Mo, Shi Menghan, Yang Jun, Chen Fengbo, Wang Xiaoye and Li Congchen of CITIC Securities Company Limited acted as Financial Advisor, Liu Rong, Liu Hu, Zhao Zhishen, Wen Jie, Luo Xiaowei, Cai Li and Liu Fang of King & Wood Mallesons acted as legal advisor and Guo Dongchao, Liao Jiping, She Aimin, Zhao Hongmei, Leng Liangang, Chen An and Wang Baolian of ShineWing Certified Public Accountants Co., Ltd acted as accountant to Dongfang Electric Corporation Limited.