Shanghai Putailai New Energy Technology Co., Ltd. (SHSE:603659) signed a share transfer agreement to acquire 70% stake in Shanghai Lufeng Investment Management Co., Ltd. from Wang Zhijie and Li Hechen for nil consideration on February 28, 2018. Shanghai Putailai New Energy Technology Co., Ltd. will acquire 42% stake from Wang Zhijie and 28% stake from Li Hechen in Shanghai Lufeng Investment Management Co., Ltd. Upon completion, Shanghai Putailai New Energy Technology Co., Ltd. will own 70%, Wang Zhijie will own 18% and Li Hechen will own 12% in Shanghai Lufeng Investment Management Co., Ltd. As of December 31, 2017, Shanghai Lufeng Investment Management Co., Ltd. had total assets of CNY 1.7 million and net assets of CNY 1.5 million. For the year ended December 31, 2017, Shanghai Lufeng Investment Management Co., Ltd. had nil revenue and net loss of CNY 1.5 million. This transaction has been approved by the board of Shanghai Putailai New Energy Technology Co., Ltd. in the 1st directorate in its 21st meeting on February 28, 2018. The transaction does not need approval from the shareholders of Shanghai Putailai New Energy Technology Co., Ltd.