Juneyao Airlines Co., Ltd (SHSE:603885) agreed to acquire Shanghai Jidaohang Enterprise Management Company Limited from Shanghai Juneyao (Group) Co., Ltd for approximately CNY 1 billion on November 1, 2019. The consideration will be paid in two installments, the first installment of CNY 600 million will be paid within five working days after the approval from Juneyao Airlines Co., Ltd shareholders and second installment of approximately CNY 400 million will be paid with five working days after all condition of the transaction are met. The consideration will be paid in cash. As of December 31, 2018, Shanghai Jidaohang Enterprise Management Company Limited reported total assets of CNY 20. For the year ended December 31, 2018, Shanghai Jidaohang Enterprise Management Company Limited reported revenue of CNY 0, operating loss of CNY 520 and net loss of CNY 520. The transaction is subject to the approval of shareholders of Juneyao Airlines Co., Ltd. The transaction was approved by the board of directors of Shanghai Juneyao (Group) on November 1, 2019. The transaction was approved by 3rd directorate of Juneyao Airlines Co., Ltd. on November 8, 2019. The transaction has been approved by the shareholders of Juneyao Airlines Co., Ltd on November 26, 2019. Guotai Junan Securities Co., Ltd. (SHSE:601211) acted as the independent financial advisor for Juneyao Airlines.