Wuzhou Dongtai State Asset Management Co., Ltd. agreed to acquire 10.8% stake in Huarui Electrical Appliance Co.,Ltd. (SZSE:300626) from Sun Ruiliang and Zhang Yijun for approximately CNY 230 million on August 28, 2020. Wuzhou Dongtai State Asset Management Co., Ltd. signed an agreement to acquire 10.8% stake in Huarui Electrical Appliance Co.,Ltd. from Sun Ruiliang and Zhang Yijun on September 11, 2020. Sun Ruiliang will sell 18.4 million shares (10.24% stake) and his spouse Zhang Yijun will sell 1 million shares (0.58% stake). The consideration is payable in two installments. Within five days of agreement, CNY 40 million will be paid and within 5 days from closing, the balance will be transferred. After the transaction, Sun Ruiliang will hold 30.72% company shares while Zhang Yijun won’t hold any shares. The transaction needs to obtain approval by the State-owned Assets Supervision and Administration Commission of Wuzhou City and the Wuzhou City Government, the decision issued by the State Administration for Market Regulation that the review of the concentration of undertakings will not be further reviewed and the compliance confirmation document issued by the Shenzhen Stock Exchange for the application for the transfer of shares of the listed company. On August 28, 2020, Wuzhou Dongtai State Asset Management Co., Ltd convened a board of directors to review and approve the transaction plan and on September 4, 2020, Wuzhou Dongtai State Asset Management Co., Ltd held a shareholder meeting to review and approve the transaction plan.