Jiangsu Xianke Semiconductor New Material Co., Ltd. announced that it signed capital increase agreement to receive CNY 990,000,000 in equity funding on August 26, 2016. The transaction will include participation from returning investor Jiangsu Yoke Technology Co.,Ltd. (SZSE:002409) for CNY 180,000,000 to acquire 18% stake, new investors Jiangsu Huatai Ruilian M&A Fund (Limited Partnership), a fund managed by Huatai Ruilian Fund Management Co., Ltd. and Sequoia Capital China for CNY 200,000,000 to acquire 20% stake, ABCI Wuxi Equity Investment Fund Enterprise (Limited Partnership) for CNY 100,000,000 to acquire 10% stake, ABCI (Suzhou) Investment Management Co., Ltd. for CNY 150,000,000 to acquire 15% stake, Jiangsu Guidu Investment Co., Ltd. for CNY 220,000,000 to acquire 22% stake, SND Innovation and Technology Investment Management Co., Ltd. for CNY 100,000,000 to acquire 10% stake, and Suzhou Yiyang Investment Advisory Partnership Enterprise (General Partnership) for CNY 50,000,000 to acquire 5% stake. The transaction will take place in two phases. After completion of phase 1, registered capital of the company will increase from CNY 10,000,000 to CNY 150,000,000 and after phase 2 to CNY 1,000,000,000. The investors would acquire 99% stake in the company. The transaction was approved at the 20th session of the 3rd directorate of Jiangsu Yoke Technology Co.,Ltd. (SZSE:002409). The phase 2 investment is subject to shareholders’ approval of Jiangsu Yoke Technology Co.,Ltd. (SZSE:002409) while the phase 1 does not require its shareholders’ approval. The investors shall make a one-time payment of their Phase 1 investment subscription amounts within 45 days from the signing of the agreement or not later than the payment period deadline of the Phase 2 investment and Phase 2 investment subscription amounts after fulfilling their investment obligations for Phase 1, and 20 days before the fulfillment of the transfer obligations of acquisition of the 96.28% stake in UP Chemical Co., Ltd.