Shenzhen Capstone Industrial Co.,Ltd. signed the agreement to acquire Beijing Ranshi Technology from Cao Linfang, Li Yong and Mo Qingya for CNY 1.1 billion in cash and stock on July 22, 2015. Amount of stake consideration is CNY 714 million and amount of cash consideration is CNY 336million. Shenzhen Capstone Industrial will issue 35 million shares. In a related transaction, Shenzhen Capstone Industrial Co.,Ltd. signed the agreement to acquire Seeco Media for CNY 1.7 billion on July 23, 2015. Under the terms of the transaction, Shenzhen Capstone Industrial will issue 95.84 million A shares at CNY 20.42 per share and pay approximately CNY 790 million for both the transactions. Shenzhen Capstone will issue 134.67 million shares at CNY 20.42 per share to raise CNY 2,750 million and a portion of the proceeds will be used to fund the transaction. The transaction is subject to approval by shareholders of Shenzhen Capstone Industrial and approval of China Securities Regulatory Commission. The Board of Shenzhen Capstone Industrial approved the transaction on July 21, 2015. On August 27, 2015, the transaction has been approved by the shareholders of Shenzhen Capstone Industrial Co. On July 21, 2015, Beijing Ranshi held the shareholders' meeting and approved the deal. On December 16, 2015, CSRC approved the transaction. Guangzhou Securities Co., Ltd. acted as the financial advisor and Grandway Law Offices acted as the legal advisor, Ruihua Certified Public Accountants, LLP acted as the accountant to Shenzhen Capstone Industrial Co.,Ltd.

As of December 31, 2014 Beijing Ranshi Technology Co., Ltd. reported total assets of CNY 42.84 million, total shareholders equity of CNY 20.69 million, revenue of CNY 76.86 million, operating profit of CNY 20.91 million and net profit of CNY 15.62 million.

Shenzhen Capstone Industrial Co.,Ltd. completed the acquisition of Beijing Ranshi Technology from Cao Linfang, Li Yong and Mo Qingya on January 6, 2016.