Shanghai Zhizheng Enterprise Group Co., Ltd. cancelled the acquisition of Shanghai Zhizheng New Materials Co., Ltd from Shanghai Original Advanced Compounds Co., Ltd.

Shanghai Zhizheng Enterprise Group Co., Ltd. intends to acquire Shanghai Zhizheng New Materials Co., Ltd from Shanghai Original Advanced Compounds Co., Ltd (SHSE:603991) on November 27, 2020. The transaction is paid in cash. As of July 31, 2020, Shanghai Zhizheng New Materials Co., Ltd recorded total assets of CNY 623.26 million, total common equity of CNY 373.78 million, total revenue of CNY 187.51 million, net loss of CNY 24.72 million. As of December 31, 2020, Shanghai Zhizheng New Materials Co., Ltd recorded total assets of CNY 652.75 million, total common equity of CNY 398.51 million, total revenue of CNY 416.32 million, net loss of CNY 51.52 million. The transaction is subjected to approval from shareholders and two-thirds of the non-related shareholders of Sinoma International Engineering Co.Ltd. The transaction has been approved by board of directors and internal decision-making body of Shanghai Original Advanced Compounds Co., Ltd. Lixin Zhonglian Certified Public Accountants acted as accountant for Shanghai Original Advanced Compounds Co., Ltd. Shanghai Zhizheng Enterprise Group Co., Ltd. cancelled the acquisition of Shanghai Zhizheng New Materials Co., Ltd from Shanghai Original Advanced Compounds Co., Ltd (SHSE:603991) on December 23, 2020.