XiaMen HongXin Electron-tech Group Co.,Ltd (SZSE:300657) agreed to acquire Suzhou Smartron Technology Corporation Limited from Wu Shaofeng, Zhu Xiaoyan, Suzhou Huayang Tongchuang Investment Center (Limited Partnership) and Yan Yonghong for CNY 480 million on June 2, 2021. The consideration will be paid as CNY 90.75 million in cash and issuance of 24.8 million shares of XiaMen HongXin Electron-tech Group Co.,Ltd. Prior to the completion, Suzhou Smartron Technology Corporation is held 35% by Wu Shaofeng, 30% by Zhu Xiaoyan, 15% by Yan Yonghong and 20% by Suzhou Huayang Tongchuang and upon completion, XiaMen HongXin Electron-tech Group will hold 100%. The cash consideration of CNY 90.75 million, will be financed by raising supporting funds of not more than CNY 181 million by issuing share capital to not more than 35 investors.

As of April 28, 2022, XiaMen HongXin received approval from Shenzhen Stock Exchange Listing Review Center to issue shares and cash payment to purchase assets and raising matching funds. The transaction is subject to XiaMen HongXin Electron-tech Directorate and shareholders' approvals, Suzhou Smartron Technology Corporation Limited's shareholders' approval, the Shenzhen Stock Exchange's approval, the CSRC's approval, obtaining financing and other necessary approvals. As of February 11, 2022, the 37th session of XiaMen HongXin Electron-tech Group's 3rd Directorate has approved the transaction.

The transaction has been approved by the Shenzhen Stock Exchange. The Suzhou Smartron Technology Corporation's general meeting of shareholders reviewed and approved the transaction on October 22, 2021. Zhang Nasha, Hong Yun, Xu Shaoying, He Jialuo, Ye Yang, Xu Wenjun, Li Yue and Meng Xiayi of Guosen Securities Co., Ltd. acted as independent financial advisor, Zhang Liguo, Sang Jian and Wen Dingxiong of Grandway Law Offices acted as legal advisor and Xiao Houfa, Lin Yanlin and Zhan Zhanzhan of RSM China CPA LLP acted as accountant to XiaMen HongXin Electron-tech Group Co.