Shenzhen Prince New Materials Co., Ltd. (SZSE:002735) agreed to acquire remaining 49% stake in Wuhan Zhongdian Huarui Technology Development Co., Ltd. from Zhu Zhu, Zhu Wanli, Guo Yufeng, Liu Jiangzhou and Jiang Shanwen on February 24, 2021. Shenzhen Prince New Materials will issue shares and pay cash for the deal. Pre deal, Shenzhen Prince New Materials held 51% stake and after the completion of this transaction, Shenzhen Prince New Materials will directly hold 100% equity of Zhongdian Huarui.

For the year ending December 31, 2020, Wuhan Zhongdian Huarui Technology Development reported total assets of CNY 88.6 million, total owner's equity of CNY 62.4 million, revenue of CNY 59 million, operating profit of CNY 23.2 million and net profit of CNY 19.2 million. Shenzhen Prince New Materials intends to fund the cash portion by raising supporting funds. This transaction needs to be approved by the company's shareholders meeting. This transaction needs to be approved by the China Securities Regulatory Commission. On February 24, 2021, Shenzhen Prince New Materials held the 22nd meeting of the fourth Board of Directors, at which the transaction plan and related proposals were reviewed and passed. After the completion of the audit and evaluation of Wuhan Zhongdian Huarui Technology, Shenzhen Prince New Materials needs to convene the board of directors again to review and approve the transaction plan.


Shenzhen Prince New Materials Co., Ltd. (SZSE:002735) Cancelled the acquisition of 49% stake in Wuhan Zhongdian Huarui Technology Development Co., Ltd. from Zhu Zhu, Zhu Wanli, Guo Yufeng, Liu Jiangzhou and Jiang Shanwen on July 18, 2022.