Kingclean Electric Co.Ltd (SHSE:603355) signed a letter of intent to acquire Shanghai PGI Automotive Parts Co., Ltd. from Paragon Trading Corp. LLC and GIL-MAR PHG Far East Automotive, LLC for CNY 1.5 billion on June 23, 2021. Kingclean Electric Co.Ltd (SHSE:603355) entered into a share purchase agreement to acquire Shanghai PGI Automotive Parts Co., Ltd. from Paragon Trading Corp. LLC and GIL-MAR PHG Far East Automotive, LLC for CNY 1.2 billion recently. As per terms, the first stage valuation of the 100% equity of Shanghai PGI Automotive Parts Co., Ltd. is tentatively set at CNY 1.2 billion and the contingent maximum payment amount of CNY 220 million. The final valuation is expected between CNY 1.2 billion and CNY 1.5 billion. As on May 31, 2021, total asset and net asset of Shanghai PGI Automotive Parts Co., Ltd. was CNY 835 million and CNY 333 million respectively. Transaction has been approved in the 16th Meeting of Kingclean Electric Co.,Ltd 5th Directorate held on October 28, 2021, and does not need the Shareholders’ Approval. As of December 2, 2021 PGI Far East Precision Products Co.,Ltd. obtained the Business License of Shanghai Passage. Kingclean Electric Co.Ltd (SHSE:603355) completed the acquisition of Shanghai PGI Automotive Parts Co., Ltd. from Paragon Trading Corp. LLC and GIL-MAR PHG Far East Automotive, LLC on November 30, 2021. On December 13, 2021, the total consideration has been paid.