Suzhou Institute of Building Science Group Co., Ltd. (SHSE:603183) agreed to acquire Shanghai Zhongcexing Engineering Testing Consulting Co., Ltd from its shareholders for approximately CNY 310 million on April 16, 2019. Under the terms of the transaction, Suzhou Institute of Building Science Group Co., Ltd. will issue 11.3 million shares at CNY 12.85 per share and pay a cash consideration of CNY 87.2 million. As on April 30, 2019, the deal terms revised. Suzhou Institute of Building Science Group Co., Ltd. will now acquire the stake for approximately CNY 330 million as the number of shares to be issued changed to 15.8 million. The cash portion of the transaction is to be financed by raising funds not exceeding CNY 199.2 million. For the year ended December 31, 2018, Shanghai Zhongcexing Engineering Testing Consulting Co., Ltd reported total assets of CNY 81.5 million, net assets of CNY 54.8 million, revenues of CNY 143.5 million, operating profit of CNY 34.5 million and net profit of CNY 30.7 million. The transaction is subject to approval by the Board of Directors and shareholders of Suzhou Institute of Building Science Group Co., Ltd. and approval by China Securities Regulatory Commission. The transaction has been approved by the shareholders of Shanghai Zhongcexing Engineering Testing Consulting Co., Ltd and board of Suzhou Institute of Building Science Group Co., Ltd. On On April 30, 2019 and May 29, 2019, the revised plan is approved by the Board of Directors of Suzhou Institute of Building Science Group Co., Ltd. On June 14, 2019, the shareholders of Suzhou Institute of Building Science Group Co., Ltd. approved the transaction. On August 13, 2019, Suzhou Institute of Building Science Group held the 14th meeting of the second board of directors, deliberating and passing the bills and abstracts prepared for the audit report related to the reorganization and the revision of the financial data after the expiration of the review report. On August 27, 2019, Suzhou Institute of Building Science Group held the fifteenth meeting of the second board of directors to deliberate and approve the issue of shares and pay cash to purchase assets and raise matching funds. A second approval from the shareholders meeting of Suzhou Institute of Building Science Group and approval from the CSRC is still pending. As of November 25, 2019, securities regulator has approved the transaction. Fan Li, Lu Wenlong, Hong Zhiqiang, Shen Xiaozhou, Xia Li, and Chen Zhenyu of Soochow Securities Co., Ltd. (SHSE:601555) acted as financial advisor, Gu Gongyu, Bao Fangzhou, Li Pengfei, and Zhan Lei of Shanghai Jintiancheng Law Firm acted as legal advisors, Zhang Caibin, Liu Yong and Xu Jun of Jiangsu Gongzheng Tianye Certified Public Accountants Co Ltd acted as accountant and Jiangsu Zhongqi Huazhongtian Assets Evaluation Co., Ltd. acted as asset assessment agency for Suzhou Institute of Building Science Group Co., Ltd. Suzhou Institute of Building Science Group Co., Ltd. (SHSE:603183) completed the acquisition of Shanghai Zhongcexing Engineering Testing Consulting Co., Ltd from its shareholders on December 4, 2019. Shanghai Zhongcexing Engineering Testing Consulting will operate as a wholly owned subsidiary of Suzhou Institute of Building Science Group.