Xinjiang East Universe (Group) Gas Co., Ltd. (SHSE:603706) entered into a letter of intent to acquire 80% stake in Yining Heating Supply Co Ltd from Yining State-owned Assets Investment and Management (Group) Co., Ltd for approximately CNY 700 million on July 30, 2019. Xinjiang East Universe (Group) Gas Co., Ltd. reached an equity transfer agreement to acquire 80% stake in Yining Heating Supply Co Ltd from Yining State-owned Assets Investment and Management (Group) Co., Ltd on September 7, 2019. On January 8, 2020, Xinjiang East Universe and Yining State-owned Assets Investment and Management (Group) Co., Ltd signed a confirmation of equity delivery agreeing to January 8, 2020 being the date of delivery for said assets. Xinjiang East Universe has already paid a guarantee of CNY 100 million for the present transaction back in July 24, 2019. Xinjiang East Universe has also paid to Yining State-owned Assets Investment and Management (Group) Co., Ltd. the initial installment for the payment of the present transactional plan. Within 3 months since the completion of change of registry in relation to the shareholding situation of Yining Heating Supply Co., Ltd., Xinjiang East Universe will pay the extant transfer amount of CNY 349,140,500. As on March 18, 2020, all payments have been carried out normally in accordance with the respective stipulations. For the year ended December 31, 2018, Yining Heating reported total assets of CNY 852.74 million, owner's equity of CNY 529.15 million, operating revenue of CNY 286.73 million and net profit of CNY 15.37 million. The transaction is subject to approval by Xinjiang East Universe's Board, approval by shareholders of Xinjiang East Universe and other approvals required by laws and regulations. The transaction has been approved by the Board of Xinjiang East Universe on July 30, 2019. As on December 3, 2019, the deal was again approved by the Board of Xinjiang East Universe (Group) Gas Co., Ltd. As of December 20, 2019, shareholders of Xinjiang East Universe (Group) Gas Co., Ltd. has approved the transaction. Fan Kaiwen, Xie Cong, Li Ke and Li Liang of CITIC Securities Co., Ltd. acted as financial advisors, Li Daming, Shao Liya of Li Daming, Shao Liya acted as legal advisors and Hui Zengqiang, Pan Yue of BDO China SHU LUN PAN Certified Public Accountants LLP acted as accountants to Xinjiang East Universe (Group) Gas Co., Ltd. Xinjiang East Universe (Group) Gas Co., Ltd. (SHSE:603706) completed the acquisition of 80% stake in Yining Heating Supply Co., Ltd. from Yining State-owned Assets Investment and Management (Group) Co., Ltd on March 18, 2020.