Shanxi Huhua Group Co., Ltd. (SZSE:003002) acquired 4% stake in Chengdu Feiya Aviation Equipment Application Research Institute Co., Ltd. from Peng Bing for CNY 20 million on January 25, 2021. In related transactions, Shanxi Huhua Group Co., Ltd. agreed to subscribe new capital of Chengdu Feiya Aviation Equipment Application Research Institute Co., Ltd. and equity of the newly established Special Fund Zhonglu Jinsu Lehang One (Zhuhai) Equity Investment Fund (Limited Partnership), with which Shanxi Huhua Group will indirectly hold 3.76% of Chengdu Feiya Aviation Equipment Application Research Institute Co., Ltd. The original shareholders unanimously agreed that Peng Bing and Peng Xiaorong would transfer a total of 34% of the equity of the target company after the capital increase to the investment group. The total transfer price including tax was CNY 170 million, of which Peng Bing transferred 4% of the equity to the company, including tax the transfer price is CNY 20 million. Following completion of these transactions, Shanxi Huhua Group directly holds 8% stake and holds in a total of 11.76% stake in Chengdu Feiya Aviation Equipment Application Research Institute Co., Ltd. In 2019, Chengdu Feiya Aviation Equipment Application Research Institute reported total assets of CNY 479.8 million, total liabilities of CNY 245.5 million, total owners' equity of CNY 234.3 million, revenue of CNY 88.7 million and net profit of CNY 20.97 million. As on September 30, 2020, Chengdu Feiya Aviation Equipment Application Research Institute reported total assets of CNY 504.7 million, total liabilities of CNY 242.7 million and total owners' equity of CNY 262 million. Shanxi Huhua Group held the fourteenth meeting of the third Directorate on January 25, 2021 and approved the deal. Shanxi Huhua Group Co., Ltd. (SZSE:003002) completed the acquisition of 4% stake in Chengdu Feiya Aviation Equipment Application Research Institute Co., Ltd. from Peng Bing on January 26, 2021.