Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. (SZSE:300576) agreed to acquire Coants Electronic Co., Ltd. from Niu Guozhun, Yuan Yi, Li Hui, and Shi Lihui for approximately CNY 180 million on July 12, 2019. As of May 25, 2020, Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. agreed to acquire Coants Electronic Co., Ltd. from Niu Guozhun, Yuan Yi, Li Hui, and Shi Lihui for approximately CNY 230 million. Consideration will be CNY 108 million will be paid in shares, CNY 18 million will be paid in bonds and CNY 54 million will be paid in cash. As of May 25, 2020, consideration will be CNY 20.8 million will be paid in shares through issuance of 0.58 million shares, CNY 124.8 million will be paid in bonds and CNY 62.4 million will be paid in cash. At the same time Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. will carry out a private placement of corporate convertible bonds to raise supporting funds of CNY 120 million to fund the cash consideration for the transaction. As of May 25, 2020, Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. will carry out a private placement of corporate convertible bonds to raise supporting funds of CNY 140 million to fund the cash consideration for the transaction. Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. will acquire 62% stake from Niu Guochun, from 24% stake from Yuan Yi, 9% stake from Li Hui and 5% stake from Shi Lihui. For the year ended December 31, 2018, Coants Electronic Co., Ltd. has total assets of CNY 62.3 million, owners' equity of CNY 30.5 million, operational income of CNY 85.7 million, and net profit of CNY 3.8 million.

Transaction is subject to approval from Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. shareholders and second Board meeting, Shenzhen Stock Exchange and China Securities Regulatory Commission approval. On June 24, 2019, Coants Electronic Co., Ltd. held a shareholder meeting, and all shareholders unanimously agreed to pass the transaction. On July 12, 2019, Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. held the fifth meeting of the third board of directors in 2019, and reviewed and approved the proposal related to the transaction plan. As of June 15, 2020, the transaction was approved by the shareholders of Shenzhen RongDa Photosensitive Science & Technology. Founder Financing Services Co., Ltd. As of December 1, 2020, the transaction is approved by China Securities Regulatory Commission. Zhang Jiong of Shu Jin Law Firm acted as legal advisor and Yang Zhiguo of BDO SHU LUN PAN Certified Public Accountants (Special General Partnership) acted as accountant and Chen Kun of Founder Financing Services Co., Ltd. acted as legal advisor for Shenzhen RongDa Photosensitive Science & Technology Co.

Shenzhen RongDa Photosensitive Science & Technology Co., Ltd. (SZSE:300576) completed the acquisition of Coants Electronic Co., Ltd. from Niu Guozhun, Yuan Yi, Li Hui, and Shi Lihui on January 27, 2021. Shenzhen RongDa Photosensitive Science & Technology Co., Ltd issued 0.467077 million shares to Niu Guochun , 0.180804 million shares to Yuan Yi,0.067801 million shares to Li Hui and 0.037667 million shares to Shi Lihui