Chongqing Landai Powertrain Corp., Ltd. (SZSE:002765) agreed to acquire an additional 89.68% stake in Shenzhen Top Group Technology Co., Ltd. from a group of investors for approximately CNY 620 million on October 31. 2018. Chongqing Landai Powertrain Corp., Ltd. will issue 60.23 million shares and will pay CNY 281.06 million in cash. Prior to the transaction, Chongqing Landai Powertrain Corp., Ltd. held 10% stake and after the transaction, Chongqing Landai Powertrain Corp., Ltd. will hold 99.68% stake in Shenzhen Top Group Technology Co., Ltd. In a related transaction, Chongqing Landai Powertrain Corp., Ltd. will issue shares to raise funds not exceeding CNY 400 million and proceeds shall be used to fund the transaction. The transaction is subject to approval of shareholders of Chongqing Landai Powertrain Corp., Ltd. and approval of China Securities Regulatory Commission. The shareholders of Shenzhen Top Group Technology Co., Ltd. approved the transaction and Board of Directors of Chongqing Landai Powertrain Corp., Ltd. approved the transaction on October 31, 2018. On December 22, 2018, Chongqing Landai held the 19th Meeting of the 3rd Directorate, and approved the acquisition of assets through the issuance of shares and cash and raising of supporting funds. As of January 11, 2019, the transaction has been approved by the shareholders of Chongqing Landai Powertrain Corp., Ltd. On March 13, 2019, regulatory approval obtained. As on April 30, 2019, the transaction has been approved by China Securities Regulatory Commission. Zhang Xuanyang, Liu Xiangtao, Li Wei, Cen Yue, Zhang Yi, Guo Jingyi of Minsheng Securities Co.,Ltd. acted as the financial advisor, Zhi Bin, Li Shijia of Han Kun Law Offices acted as legal adviser, Zhao Yongjun and Xie Hongqi of Sichuan Hua Xin (Group) CPA Firm acted as accountant to Chongqing Landai Powertrain Corp., Ltd. in the transaction.