Shenzhen Qianhai Gatsway Petrochemical Co., Ltd entered into a framework agreement to acquire Jiangsu Jurong Petrochemicals Co., Ltd (JJP) from SunVic Chemical Holdings Limited (SGX:A7S), Jiangsu Jurong Chemical Co., Ltd. and Whitefield Capital Inc. (vendors) for approximately CNY 790 million on September 2, 2016. Upon the agreement becoming effective, the management and control of Jiangsu Jurong Petrochemicals will be transferred to Shenzhen Qianhai Gatsway in consideration of a first tranche payment of CNY 50 million. If, during the one year period from the effective date of the agreement (the “Trial Period”), Jiangsu Jurong Petrochemicals (under the management and control of Shenzhen Qianhai Gatsway) is able to operate normally such that products of an acceptable quality for sale are produced continuously for at least a period of one month, and the sellers have not directly or indirectly affected the normal operations of Jiangsu Jurong Petrochemicals, then after the trial period, the sellers and Shenzhen Qianhai Gatsway will execute a definitive sale and purchase agreement for the remaining consideration of CNY 338 million. One year after the registration of transfer of the sale shares, Shenzhen Qianhai Gatsway shall pay the sum of CNY 400 million to Jiangsu Jurong Chemical, which shall constitute full settlement of all outstanding liabilities of Jiangsu Jurong Petrochemicals. The agreement shall only take effect upon the approval of the Board and shareholders of SunVic Chemical Holdings. SunVic Chemical Holdings intends to use the sale proceeds for working capital purposes. As of January 8, 2020 Shenzhen Qianhai Gatsway Petrochemical Co., Ltd. transferred the management and control rights of Jiangsu Jurong Petrochemicals back to Jiangsu Jurong Chemical Co., Ltd., SunVic Chemical Holdings Limited and Whitefield Capital Inc.