Jinlong Machinery & Electronics Co.,Ltd. (SZSE:300032) agreed to acquire Wuxi Booyi Optoelectronics Science Technology Co., Ltd. from Jiang Yunzhen, Wu Peichun, Cheng Xiaoding, Chen Sen, Huang Wei, Zhang Zhihui, Han Jun, Qiao Weixiong and Shi Qi for approximately CNY 510 million in cash and stock on January 20, 2014. Jinlong Machinery & Electronics Co.,Ltd. (SZSE:300032) signed an agreement to acquire Wuxi Booyi Optoelectronics Science Technology Co., Ltd. from Jiang Yunzhen, Wu Peichun, Cheng Xiaoding, Chen Sen, Huang Wei, Zhang Zhihui, Han Jun, Qiao Weixiong and Shi Qi for approximately CNY 510 million on February 17, 2014. As per the terms of the deal, Jiang Yunzhen will sell 34.1% stake, Wu Peichun will sell 23% stake, Cheng Xiaoding will sell 13.5% stake, Chen Sen will sell 12% stake, Huang Wei will sell 7.9% stake, Zhang Zhihui will sell 3% stake, Han Jun will sell 3% stake, Qiao Weixiong will sell 2% stake and Shi Qi will sell 1.5% stake in Wuxi Booyi Optoelectronics Science Technology Co.

Jinlong Machinery & Electronics Co.,Ltd. will issue 21.27 million shares and will pay CNY 149.1 million cash as part of the consideration. Jinlong Machinery & Electronics Co.,Ltd. will pay 70% of the transaction price through the issuance of shares and the 30% through cash payments. Jinlong Machinery & Electronics Co.,Ltd. plans to issue shares to not more than 10 specific investors to raise supporting funds of CNY 324 million for the acquisition. The cash consideration is to be paid within 15 working days upon the completion of the implementation of the raising of funds and if raising of funds do not take place within 6 months upon the approval from the China Securities Regulatory Commission, the cash consideration within 10 working days upon the completion of the 6 months period with its self-raised funds in one-payment, whichever is earlier.

Wuxi Booyi Optoelectronics Science Technology Co had revenues of CNY 954.1 million, total assets of CNY 599.47 million, EBIT of CNY 34.61 million and net income of CNY 30.26 million for the year ended December 31, 2013. The transaction is subject to shareholder's approval of Jinlong Machinery & Electronics and another Board of Director's approval. The transaction is also subject to approval by China Securities Regulatory Commission. The transaction was approved by Board of Directors of Jinlong Machinery & Electronics on February 17, 2014. The Board and shareholders of Wuxi Booyi Optoelectronics Science Technology Co approved the deal. On April 29, 2014, the transaction was approved by Board of Directors of Jinlong Machinery & Electronics. On May 21, 2014, Jinlong Machinery & Electronics' shareholders approved the deal. The transaction was approved by China Securities Regulatory Commission on October 29, 2014. Guosen Securities Co., Ltd. acted as financial advisor for Jinlong Machinery & Electronics Co.,Ltd. Beijing Hairun Law Firm acted as legal advisor to Jinlong Machinery & Electronics.

Jinlong Machinery & Electronics Co.,Ltd. (SZSE:300032) completed the acquisition of Wuxi Booyi Optoelectronics Science Technology Co., Ltd. from Jiang Yunzhen, Wu Peichun, Cheng Xiaoding, Chen Sen, Huang Wei, Zhang Zhihui, Han Jun, Qiao Weixiong and Shi Qi on November 5, 2014.