China Household Holdings Limited (SEHK:692) entered into an agreement to acquire Polar Sunshine Wood Holdings Company Limited for HKD 380 million on July 26, 2013. The consideration will be satisfied by the issuance of convertible bonds. As of July 31, 2013, the agreement was amended, as per which, consideration for 100% stake and the sale loan will be satisfied by the issuance of convertible bonds.

The transaction is subject to obtaining all the relevant permits, licenses and approval documents on or before December 31, 2013, the results and reports of the investigations and due diligence being satisfactory to China Household, relevant third parties approvals, the shareholders of China Household having approved the deal, issue of Convertible Bonds, granting of the Specific Mandate and the transactions contemplated there under at the Shareholder General Meeting in accordance with its articles of association and the requirements of the Listing Rules of the Main Board, the Listing Committee of the Hong Kong Stock Exchange having granted the approval for the listing of, and permission to deal in, the Conversion Shares related to the Convertible Bonds and all other consent and approval documents involving the Hong Kong Stock Exchange. As of September 13, 2013, China Household Holdings extended the date for the circular to October 13, 2013. As of October 16, 2013, the date of dispatch of the circular will be on or before November 1, 2013. As on January 27, 2014, China Household Holdings entered into a second supplemental agreement to amend certain terms of the agreement. Pursuant to the agreement, it is agreed that the condition the Vendor having obtained all relevant permits, licenses and approval documents shall be amended to on or before June 30, 2014 or such later date as may be agreed between the parties. The long stop date shall be amended to 12 months upon signing of the agreement.

As of April 9, 2014, China Household Holdings Limited and Polar Sunshine Wood entered into a third supplemental agreement. Pursuant to the agreement, China Household Holdings Limited will issue 356 million shares as consideration to acquire Polar Sunshine Wood Holdings Company Limited for approximately HKD 80.1 million, in stock. Chanceton Capital Partners Limited acted as financial advisor to China Household Holdings Limited. Elite Partners CPA Limited acted as accountant to China Household.

China Household Holdings Limited (SEHK:692) completed the acquisition of Polar Sunshine Wood Holdings Company Limited on July 17, 2014. On Completion, China Household issued its 356 million shares as consideration. All the conditions related to this transaction have been fulfilled.