Hangzhou Changchuan Technology Co., Ltd. signed a share transfer agreement to acquire 90% stake in Hangzhou Changxin Investment Management Co., Ltd. from National Integrated Circuit Industry Investment Fund Co., Ltd., managed by Huaxin Investment Management Co., Ltd., Shanghai Semiconductor Equipment Materials Industry Investment Fund Partnership and Ningbo Paradise Silicon Valley Hehui Venture Capital Partnership Enterprise (Limited Partnership) for approximately CNY 550 million.
December 11, 2018
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Hangzhou Changchuan Technology Co., Ltd. (SZSE:300604) signed a share transfer agreement to acquire 90% stake in Hangzhou Changxin Investment Management Co., Ltd. from China Integrated Circuit Industry Investment Fund Co., Ltd., managed by Huaxin Investment Management Co., Ltd., Shanghai Semiconductor Equipment Materials Industry Investment Fund Partnership Enterprise (L.P.), managed by Shanghai Semiconductor Equipment & Material Industry Investment Management Co., Ltd. and Ningbo Paradise Silicon Valley Hehui Venture Capital Partnership Enterprise (Limited Partnership) for approximately CNY 530 million on December 12, 2018. A total of 16.25 million shares will be issued by Hangzhou Changchuan Technology as consideration. For 30% stake sold by each seller, 5.15 million shares will be issued. On July 31, 2019, post completion of profit adjustment, Hangzhou Changchuan Technology Co., Ltd. has revised issuance of consideration shares and will issue 30.98 million shares as consideration. Hangzhou Changchuan Technology Co., Ltd will issue 10.33 million shares to each seller. The consideration has been revised to CNY 546.85 million.
Hangzhou Changxin Investment reported net assets of CNY 120.5 million, total assets of CNY 748.61 million, sales of CNY 286.96 million, operating profit of CNY 1.63 million and net profit of CNY 1.86 million as of December 31, 2017. Deal is subject to Hangzhou Changchuan Technology’s shareholders’ approval and CSRC’s approval. On October 29, 2018, Ningbo Paradise Silicon Valley Hehui Venture Capital Partnership Enterprise (Limited Partnership) held a managers meeting and exit policy meeting, and approved the transaction. On November 16, 2018, Shanghai Semiconductor Equipment Materials Industry Investment Fund Partnership Enterprise (L.P.) held an investment decision committee meeting, and approved the transaction. Hangzhou Changxin Investment Management Co., Ltd. held a shareholders meeting, and approved the transaction. Hangzhou Changchuan Technology held the 7th Meeting of the 2nd Directorate, and approved the transaction. China Integrated Circuit Industry Investment Fund Co., Ltd. issued an approval of the transaction. The transaction was approved at the shareholders' meeting of Hangzhou Changchuan on January 18, 2019. On April 23, 2019, China Securities Regulatory Commission approved the transaction.
Huatai United Securities Co., Ltd. acted as financial advisor, Grandall Law Firm acted as legal advisor and Pan-China Certified Public Accountants LLP acted as accountant to Hangzhou Changchuan Technology.
Hangzhou Changchuan Technology Co Ltd, formerly Hangzhou Chang Chuan Technology Co., Ltd., is a China-based company principally engaged in the research, development, manufacture and sales of application-specific equipment for integrated circuit. The Company operates through two main segments. The Main Business segment is primarily involved in the research, development, manufacture and sales of application-specific test and sorting equipment for integrated circuit. The Other Business segment is mainly engaged in the sales of components and provision of maintenance service.
Hangzhou Changchuan Technology Co., Ltd. signed a share transfer agreement to acquire 90% stake in Hangzhou Changxin Investment Management Co., Ltd. from National Integrated Circuit Industry Investment Fund Co., Ltd., managed by Huaxin Investment Management Co., Ltd., Shanghai Semiconductor Equipment Materials Industry Investment Fund Partnership and Ningbo Paradise Silicon Valley Hehui Venture Capital Partnership Enterprise (Limited Partnership) for approximately CNY 550 million.