Sichuan Danchi Precision Technology Co., Ltd. announced that it expects to receive CNY 82 million in funding from Guangzhou KDT Machinery Co.,Ltd., Danleng County Zhongli Business Management Consulting Services Center (Limited Partnership), Sichuan Dawn Precision Technology Co.,Ltd.
April 28, 2020
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Sichuan Danchi Precision Technology Co., Ltd. announced a private placement of common shares for gross proceeds of CNY 82 million on April 29, 2020. The transaction will include participation from returning investor Guangzhou KDT Machinery Co.,Ltd. (SZSE:002833) for CNY 26 million, new investors Danleng County Zhongli Business Management Consulting Services Center (Limited Partnership) for CNY 8 million, and Sichuan Dawn Precision Technology Co.,Ltd. (SZSE:300780) for CNY 48 million. Post-closing of the transaction, Guangzhou KDT Machinery Co.,Ltd. (SZSE:002833)'s stake will dilute from 100% to 72%, Danleng County Zhongli Business Management Consulting Services Center (Limited Partnership) will acquire 4%, and Sichuan Dawn Precision Technology Co.,Ltd. (SZSE:300780) will acquire 24% stake in the company. The registered capital of the company will increase from CNY 118 million to CNY 200 million. The transaction has been approved at the 20th meeting of Guangzhou KDT Machinery Co.,Ltd. (SZSE:002833)'s 3rd directorate. The transaction does not need the approval of the shareholders. The transaction has been approved in the 7th meeting of the 3rd board of directors of Sichuan Dawn Precision Technology Co.,Ltd. (SZSE:300780).
On the same date, the transaction has been approved by the 3rd Supervisory Board.
Sichuan Dawn Precision Technology Co., Ltd. is a China-based company mainly involved in research, development, design, manufacture and sales of mechanical transmission parts and related products. The Company's main products include mechanical transmission parts such as belt pulleys, taper sleeves, synchronous pulleys, expansion sleeves, sprockets, reducers, couplings and gears. Besides, the Company also provides customized mechanical parts meeting customer needs. The Company distributes its products in domestic and to overseas markets.
Sichuan Danchi Precision Technology Co., Ltd. announced that it expects to receive CNY 82 million in funding from Guangzhou KDT Machinery Co.,Ltd., Danleng County Zhongli Business Management Consulting Services Center (Limited Partnership), Sichuan Dawn Precision Technology Co.,Ltd.