Anhui Julong Transmission Technology Co., Ltd. (SZSE:300475) signed an agreement to acquire UFCT Technology Co., Ltd. from Shenzhen Yitoa Chuangtai Technology Co., Ltd. for CNY 1.8 billion on January 28, 2021. The consideration is payable in cash. After preliminary negotiation between the two parties, the initial transaction price of the underlying assets is between CNY 1.6 billion and CNY 1.8 billion. The final transaction price of the underlying asset will be based on the evaluation results. On February 8, 2021, Anhui Julong Transmission Technology Co., Ltd and the counterparty signed the "Payment of Cash to Purchase Assets Agreement" and it was determined that the transaction price of 100% of the shares of the target company was CNY 1.6 billion. In addition, after the completion of this transaction, the listed company will increase the capital of the target company or of a subsidiary of the target, with an increase of not less than CNY 200 million. Within ten (10) working days from the date when the prerequisites stipulated in section 2 are met or the listed company is exempted in writing, the listed company shall pay CNY 1.5 billion to the joint account (the “first transaction price”) and pay the transferor Provide a copy of the bank transfer voucher certifying that the listed company has completed the payment of the first transaction price to the co-managed account; The listed company shall pay CNY 101.6 million to a bank account separately designated by the transferor within 180 days from the date of completion of the transaction (the "second transaction price"), and Provide the transferor with a copy of the bank transfer voucher certifying that the listed company has completed the payment obligation for the second phase of the transaction. As at August 31, 2020, UFCT Technology Co., Ltd. reported total and net assets of CNY 1.3 billion and 337.1 million. On January 28, 2021, the Board of Directors and Supervisors of Anhui Julong Transmission Technology Co., Ltd. approved the deal. The shareholders of Shenzhen Yitoa Chuangtai unanimously passed the deal. The deal requires further approval from Board of Anhui Julong Transmission, shareholders of Anhui Julong Transmission, Anhui Provincial Department of Commerce and The Anhui Provincial Development and Reform Commission's filing procedures etc. On February 8, 2021, Anhui Julong Transmission Technology Co., Ltd. held the 2nd (temporary) meeting of the third Board of Directors and the 18th (temporary) meeting of the third board of supervisors, which reviewed and approved the transaction and held a shareholder meeting, and all shareholders unanimously agreed to pass the relevant proposals for this transaction. On May 12, 2021, Anhui Julong Transmission Technology Co., Ltd. held the 3rd (temporary) meeting of the fourth Board of Directors and the third (temporary) meeting of the fourth board of supervisors, which reviewed and approved the transaction. Zhang Hongtao, Lu Jinshuo, Zhang Fang, Tian Zhihe, Wang Chen and Hong Tao of Huaan Securities Co., Ltd. acted as financial advisor and Bao Jinqiao, Wan Xiaoyu and Hu Hongjie of Anhui Chengyi Law Firm acted as legal advisor and Shi Wenxian, Liao Lihua, Xiao Wentao, Fan Guiming, Yang Yun of Zhongshen Zhonghuan Certified Public Accountants (Special General Partnership) acted as auditor to Anhui Julong Transmission Technology.