Baofeng Group Co., Ltd. agreed to acquire 60% in Jiangsu Straw Bear Films Ltd from Liu Xiaofeng, Lie Shishi and Zhao Liying for CNY 1.1 billion.
For the year ended December 31, 2015, Jiangsu Straw Bear Films reported total assets of CNY 165.05 million, owner's equity of CNY 38.35 million, revenues of CNY 67.64 million and net profit of CNY 28.51 million. As of March 11, 2016, the transaction was approved by the Board of Baofeng Group. As of March 29, 2016, the transaction was approved by the shareholders of Baofeng Group. On June 7, 2016, the deal has been approved by Merger, Acquisition and Reorganization Examination Committee of Listed Companies of the China Securities Regulatory Commission. Huatai United Securities Co., Ltd. and China International Capital Corporation Limited acted as financial advisors for Baofeng Group while King & Wood PRC Lawyers acted as legal advisor and DaHua Certified Public Accountants, as accountant.