Flower King Eco-Engineering Inc. (SHSE:603007) announced that it has signed a share subscription agreement with new investor Huzhou Xiexing Investment Development Co., Ltd. for a private placement of not more than 62,000,000 A shares at a price of CNY 5.77 per share for gross proceeds of CNY 357,740,000 on November 9, 2020. The number of shares issued in the transaction will not exceeding 30% of the company’s total share capital before the issuance. Post capital increase and acquisition of 73,000,000 shares, the company will hold 135,000,000 shares of the company, accounting for 33.99% of the total share capital of the company after the completion of transaction. The securities issued in the transaction is subject to hold period of 36 months from the date of the completion of the transaction. The transaction has been approved by the board of director's of the company in its 31st meeting of it's third directorate. The transaction need approval from shareholder's of the company in it's shareholder meeting, competent state-owned assets authorities, Anti-Monopoly Bureau of the State Administration for Market Regulation, the application for concentration of business operators and the approval of the China Securities Regulatory Commission. The shareholder approval will be valid for 12 months from the date of approval by the company's shareholders' meeting.