Zhejiang RIFA Precision Machinery Co., Ltd. (SZSE:002520) entered into an agreement to acquire Rifa Jiehang Investment Co., Ltd. from Zhejiang Rifa Holding Group Co., Ltd., Hangzhou Jinqi Investment Partnership Enterprise (Limited Partnership), and Hangzhou Jinpan Investment Partnership Enterprise (Limited Partnership) for CNY 1.3 billion on January 26, 2018. On May 14, 2018, Zhejiang RIFA Precision Machinery Co., Ltd. signed a supplementary agreement. Under the terms of the transaction, Zhejiang RIFA Precision Machinery Co., Ltd. will issue 142.86 million shares as consideration. The deal terms got revised on September 18, 2018. Zhejiang RIFA Precision Machinery Co., Ltd. will now issue 202.3 million shares at issuance price of CNY 6.18 per share. Zhejiang Rifa Holding Group Co., Ltd., Hangzhou Jinqi Investment Partnership Enterprise (Limited Partnership), and Hangzhou Jinpan Investment Partnership Enterprise (Limited Partnership) will get 154.7 million shares, 38 million shares and 9.5 million shares as consideration respectively. The shares of Zhejiang RIFA Precision Machinery Co., Ltd obtained through this transaction will not be transferred or entrusted to others for management within 36 months from the date of completion of the issuance. For the year ended December 31, 2017, Rifa Jiehang Investment Co., Ltd. reported total assets of CNY 2.4 billion, net assets of CNY 1.2 billion, revenue of CNY 747.6 million, operating profit of CNY 68.2 million and net profit of CNY 43.6 million. The transaction is subject to the second approval of Directorate and shareholders of Zhejiang RIFA Precision Machinery Co., Ltd., approval from the China Securities Regulatory Commission and approval from the New Zealand Overseas Investment Office. The transaction has been approved by the internal decision-making institutions of Zhejiang Rifa Holding Group Co., Ltd., Hangzhou Jinqi Investment Partnership Enterprise (Limited Partnership) and Hangzhou Jinpan Investment Partnership Enterprise (Limited Partnership). The transaction has received approvals from the shareholders of Rifa Jiehang Investment Co., Ltd. and Zhejiang RIFA Precision Machinery Co., Ltd. The Board of Zhejiang RIFA Precision Machinery Co., Ltd. has approved the transaction in the 18th meeting of 6th directorate. The transaction has obtained approval from the New Zealand Overseas Investment Office. The transaction has also obtained the second approval from the board of Zhejiang RIFA Precision Machinery Co., Ltd. in the 19th session of 6th directorate on July 20, 2018. On September 18, 2018, the Board of Zhejiang RIFA Precision Machinery Co., Ltd. approved the revised terms of the transaction. As of October 9, 2018, the transaction was approved by the China Securities Regulatory Commission 47th M&A and Reorganization Committee working meeting of 2018. Haitong Securities Co., Ltd. acted as financial advisor to Zhejiang RIFA Precision Machinery Co., Ltd. Yu Tingting, Xu Jing and Shen Yukai of Grandall Law Firm acted as legal advisor and Yan Shanming, Xu Xizheng and Lv Jing of Pan-China Certified Public Accountants LLP acted as accountants for Zhejiang RIFA Precision Machinery Co., Ltd. Zhejiang RIFA Precision Machinery Co., Ltd. (SZSE:002520) completed the acquisition of Rifa Jiehang Investment Co., Ltd. from Zhejiang Rifa Holding Group Co., Ltd., Hangzhou Jinqi Investment Partnership Enterprise (Limited Partnership), and Hangzhou Jinpan Investment Partnership Enterprise (Limited Partnership) on December 21, 2018.