Xinjiang Zhongtai (Group) Co.,Ltd agreed to acquire 60% stake in Shanghai Zhongtai Duojing International Trade Co., Ltd. from Xinjiang Zhongtai Chemical Co., Ltd. (SZSE:002092) for CNY 360 million on August 7, 2020. From the effective date of this agreement to March 31, 2021, Zhongtai Group shall pay the equity transfer payment in full. Post the transaction, Xinjiang Zhongtai Chemical will continue to hold 40% in Shanghai Zhongtai Duojing International. Shanghai Zhongtai Duojing International Trade has total assets of CNY 3.7 billion and owner's equity of CNY 536.4 million as of July 31, 2020. The transaction is subject to the shareholders of Shanghai Zhongtai Duojing International Trade. The transaction has been approved by the Board of Xinjiang Zhongtai (Group). As of January 22, 2021, Board of Xinjiang Zhongtai Chemical passed relevant proposals of the transaction. As of March 31, 2021, Xinjiang Zhongtai Chemical received the equity transfer payment in full. Orient Securities Investment Banking Co., Ltd. acted as financial advisor to Xinjiang Zhongtai Chemical.