Advanced Technology & Materials Co., Ltd. (SZSE:000969) agreed to acquire 39.68% stake in IECHO Science Technology Co., Ltd. from Sun Zhaodong and Sun Feifei for CNY 79 million on August 29, 2019. Sun Zhaodong is receiving CNY 44 million and Sun Feifei is receiving CNY 34.9 million. An 80% of the consideration will be paid within 10 days since signing of the agreement. The remaining 20% will be paid within 20 days since completion of delivery of underlying equity and change of registry procedures. In a related transaction, Advanced Technology & Materials will acquire a stake in IECHO Science Technology through capital increase for CNY 100 million. On completion of the transaction and capital increase, Advanced Technology & Materials will hold 50.26% stake, Sun Zhaodong will hold 33.7% stake and Sun Feifei will hold nil stake in IECHO Science Technology.

For the year ended December 31, 2018, IECHO Science Technology reported total assets of CNY 365 million and net assets of CNY 70.8 million. As of December 31, 2018, IECHO Science Technology reported operating revenue of CNY 186 million, operating loss of CNY 0.78 million and net profit of CNY 0.65 million. The transaction was approved by the 11th meeting of the 7th directorate of Advanced Technology & Materials.

Advanced Technology & Materials Co., Ltd. (SZSE:000969) cancelled the acquisition of 39.68% stake in IECHO Science Technology Co., Ltd. from Sun Zhaodong and Sun Feifei on August 29, 2020.