Hanfeng Evergreen Inc. entered into a definitive agreement to sell all the assets of Hanfeng Slow-Release Fertizilier (Heilongjiang) Co., Ltd for approximately CNY 250 million on August 8, 2014. As per the terms of the definitive agreement, CNY 12.4 million will be paid in cash by August 19, 2014, CNY 37.2 million will be paid in cash within ten days of the date of approval of the sale by the court and the remaining CNY 198.4 million will be paid within ten business days of the transfer of the shares having been properly registered with the applicable regulatory authorities and becoming effective in accordance with Chinese law. Of the final payment, CNY 49.6 million will be paid in the form of a promissory note and the remaining CNY 148.8 million in cash.

The transaction is subject to approval from Ontario Superior Court of Justice. Hanfeng will appoint Ernst & Young Inc. as receiver and manager over its assets who will be responsible for collecting the purchase price under the transaction. As of August 20, 2014, Ontario Superior Court of Justice approved the deal and the appointment of Ernst & Young Inc. as receiver. The transaction is expected to close by early October 2014. Deloitte LLP acted as fairness opinion provider to Hanfeng Evergreen. Brian Pukier, Michael Devereux, Cathy Qi, Peter Howard, Maria Konyukhova, and Yannick Katirai of Stikeman Elliott LLP acted as legal advisors for Hanfeng Evergreen.

Hanfeng Evergreen Inc. cancelled the acquisition of all the assets of Hanfeng Slow-Release Fertizilier (Heilongjiang) Co., Ltd on August 8, 2015.