Shenzhen Dawei Innovation Technology Co., Ltd. (SZSE:002213) agreed to acquire remaining 40% stake in Shenzhen Xinhuiqun Microelectronics Technology Co., Ltd. from Yongfeng County Mingui Information Industry Center (Limited Partnership) and Yongfeng County Huajia Information Industry Center (Limited Partnership) for CNY 60 million on December 19, 2021. Within 5 working days after the completion of the transfer, the Company will pay CNY 32 million. Before September 30, 2022, the Company will pay CNY 28 million.

Shenzhen Xinhuiqun Microelectronics reported total assets as approximately CNY 120 million and net assets as CNY 36.2 million for the period end on July 31, 2021. The transaction has been approved by the board of directors of Shenzhen Dawei Innovation Technology and does not require shareholders approval.