Guangdong Zhengye Technology Co., Ltd. (SZSE:300410) agreed to acquire Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. from a group of sellers for approximately CNY 450 million on May 12, 2016. Guangdong Zhengye Technology Co., Ltd. (SZSE:300410) signed an agreement to acquire Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. from a group of sellers for approximately CNY 450 million on May 17, 2016. The sellers include Zhao Yutao, He Mingli, Hua Yinghao, Zhao Xiuchen, Zhu Yibo, Ding Feng, Xuanshuo Investment (Shenzhen) Enterprise (Limited Partnership), Shenzhen Qianhai Hourunde No. 2 Wealth Investment Center (Limited Partnership) and Shenzhen Qianhai Fucun Asset Management Center (General Partnership). The consideration comprises CNY 157.5 million in cash and CNY 292.5 million in stock comprising 7.1 million common shares at CNY 41.4 per share. The transaction will be financed by share issuance to 5 qualified specific investors of not more than approximately CNY 265 million. For the year ended December 31, 2015, Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. reported total assets of CNY 85.2 million, operating revenues of CNY 120 million and net profit of CNY 11.2 million, net assets of CNY 35.5 million, operating profit of CNY 12.8 million. The transaction is subject to approval from the shareholders and the Board of Directors of Guangdong Zhengye Technology Co., Ltd., China Securities Regulatory Commission and the shareholders of Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. On May 12, 2016, the shareholders of Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. approved the transaction. On May 17, 2016, the Board of Directors of Guangdong Zhengye Technology Co., Ltd. approved the transaction. On June 16, 2016, the transaction was approved by the shareholders of Guangdong Zhengye Technology Co., Ltd. On August 24, 2016, the Board of Directors of Guangdong Zhengye Technology Co., Ltd. approved the amendment of the transaction. As on January 10, 20176, the transaction was approved by the China Securities Regulatory Commission. Guangdong Zhengye Technology will now issue 7.07 million shares at CNY 41.37 per share. GF Securities Co., Ltd. acted as financial advisor, Shu Jin Law Firm acted as legal advisor and Ruihua Certified Public Accountants, LLP acted as accountant for Guangdong Zhengye Technology Co., Ltd. Guangdong Zhengye Technology Co., Ltd. (SZSE:300410) completed the acquisition of Shenzhen Xuanshuo Optoelectronics Technology Co., Ltd. from a group of sellers on January 16, 2017.