Changchun Yidong Clutch Co.,Ltd (SHSE:600148) agreed to acquire Dahua Machine Manufacturing Co., Ltd. from a group of shareholders for approximately CNY 590 million on May 4, 2018. As of November 16, 2018, consideration was revised to approximately CNY 600 million. Jilin Dongguang Group Co., Ltd. will sell 86.87% and receive 10% of its consideration in cash and balance 90% in shares. The individuals will sell 13.13% and receive entire consideration in shares. As on January 15, 2019, 60.06 million shares will be issued as consideration. In another transaction, Changchun Yidong Clutch Co.,Ltd will carry out a private placement of CNY 581.6 million and a portion of proceeds will be used to fund cash consideration of the transaction. After the transaction, Dahua Machine Manufacturing Co., Ltd. will become a wholly owned subsidiary of Changchun Yidong Clutch Co.,Ltd. The deal is subject to second approval from Board of Directors and shareholders of Changchun Yidong Clutch Co.,Ltd, CSRC, Ministry of Commerce of the People's Republic of China Anti-monopoly Bureau and other necessary approvals. The shareholders of Dahua Machine Manufacturing Co., Ltd. approved the deal on May 4, 2018 and the shareholders of CNGC Jilin Dongguang Group Corporation approved the deal on May 10, 2018. SASAC has approved the deal on May 10, 2018. On June 12, 2018, the Board of Directors of Changchun Yidong Clutch Co.,Ltd approved the deal. On June 26, 2018, Changchun Yidong Clutch Co., Ltd. received an inquiry letter from Shanghai Stock Exchange concerning information disclosure regarding the transaction. On January 15, 2019, the Board approved the adjustment price of share issuance. Yang Dehong, Ren Feng, Peng Kai, Huang Anzong, Huang Peng, Zuo Jia of Guotai Junan Securities Co., Ltd. (SHSE:601211) acted as the financial advisor to Changchun Yidong Clutch Co.,Ltd. Qiao Jiaping, Wang Huapeng, Li He of Beijing Kang Da Law Firm acted as legal advisor to Changchun Yidong Clutch Co.,Ltd. Liu Guibin, Qin Zhiyuan, Xue Zhenqin of Ruihua Certified Public Accountants, LLP acted as the accountant to Changchun Yidong Clutch Co.,Ltd. Changchun Yidong Clutch Co.,Ltd (SHSE:600148) cancelled the acquisition of Dahua Machine Manufacturing Co., Ltd. from a group of shareholders on April 22, 2019.