Shanghai CENAT New Energy Company Limited announced a private placement of common shares for gross proceeds of CNY 700,000,000 on December 28, 2017. The transaction will include participation from existing investor ShenZhen Clou Electronics Co., Ltd. (SZSE:002121). The company signed the investment letter of intent and a capital increase share expansion agreement with the investor. The investor will subscribe to CNY 221,770,000 of the registered capital of the company and the remaining proceeds will be added in the capital reserve of the company. Post the closing of the transaction, the registered capital of the company will increase from CNY 403,950,000 to CNY 625,720,000 and the investor will hold CNY 363,350,000 registered capital in the company accounting for a stake of 58.07%. The transaction has been approved by the investors' 6th directorate's 35th special meeting and is subject to approval from its shareholders. The company reported total assets of CNY 668,650,000, total liabilities of CNY 283,030,000, net assets of CNY 385,630,000, revenue of CNY 133,680,000, operating profit of CNY -64,030,000, and net loss of CNY -58,080,000 for the year ended December 31, 2016.