Shanghai Electric (Group) Corporation entered into an agreement in principle to acquire a 80.59% stake in Shanghai Electric International Economic & Trading Co., Ltd. from Shanghai Electric Group Company Limited (SEHK:2727) for CNY 2 billion on August 17, 2021. Both parties agreed that CNY 1 billion (accounting for 50% of the transfer consideration) shall be paid by SEC on the date when this agreement comes into effect and the remaining CNY 1 billion shall be paid into the bank account designated by the Company within ten working days after the completion of the industrial and commercial registration changes. 350 million Shares will be transferred to Shanghai Electric (Group) Corporation. The audited net asset value of Shanghai Electric International Economic & Trading Co., Ltd. As at 31st December 2020 was CNY 6,635.36 million. The audited turnover of Shanghai Electric International Economic & Trading Co., Ltd. for the year ended 31st December 2020 was CNY 2,996.79 million. The audited net profit of Shanghai Electric International Economic & Trading Co., Ltd. for the year ended 31st December 2020 was CNY 193.71 million. Board considered and approved the Relevant Resolution that the Shanghai Electric Group Company Limited was granted approval to transfer the 80.59% equity interest it held in Shanghai Electric International Economic & Trading Co., Ltd. to Shanghai Electric (Group) Corporation.