Ocean's King Lighting Science & Technology Co., Ltd (SZSE:002724) signed an agreement to acquire 51% stake in Zhejiang Hule Electrical Equipment Manufacturing Co., Ltd. from a consortium of sellers for approximately CNY 120 million on March 21, 2017. Under the terms of transaction, Ocean's King Lighting Science & Technology Co., Ltd will acquire 10.7% stake from Zhang Huachao, 4.7% stake from Fang Shunjin, 3.9% stake from Xue Hongzhu, 3.9% stake from Zhou Yuansheng, 2.9% stake from Hu Aixia and 24.9% stake from Jiaxing Liushun Investment Partnership Enterprise (Limited Partnership) and will issue 2.7 million new shares and will pay CNY 57.5 million in cash and will pay 51% of the consideration in shares and 49% stake in cash. In a related transaction, Ocean's King Lighting Science & Technology Co., Ltd will raise CNY 59.8 million in a private placement transaction. For the year ended December 31, 2016, Zhejiang Hule Electrical Equipment Manufacturing Co., Ltd. reported total assets of CNY 119.4 million, net assets of CNY 27.9 million, revenue of CNY 82.3 million and net profit of CNY 11.6 million. The transaction is subject to approval from Board and shareholders of Ocean's King Lighting Science & Technology Co., Ltd, Approval from the State Administration of Science Technology and Industry for National Defense and China Securities Regulatory Commission. The transaction has been approved by Board of Ocean's King Lighting Science & Technology Co., Ltd. As of October 23, 2018, State Administration for Science, Technology and Industry for National Defence approved the transaction. China Merchants Securities Co.,Ltd acted as independent financial advisor and Huashang Law Firm acted as legal advisor for Ocean's King Lighting Science & Technology Co., Ltd in the transaction. Ocean's King Lighting Science & Technology Co., Ltd (SZSE:002724) cancelled the acquisition of 51% stake in Zhejiang Hule Electrical Equipment Manufacturing Co., Ltd. from a consortium of sellers on July 9, 2019. The termination was approved by the 3rd session for 2019 of the 4th directorate meeting of Ocean's King Lighting Science & Technology Co., Ltd.