Henan Kedi Dairy Co.,Ltd. (SZSE:002770) agreed to acquire Henan Kedi Frozen Foods Co., Ltd. from Kedi Foods Group Co., Ltd. and others for CNY1.5 billion on May 23, 2018. Under the terms of transaction, Henan Kedi Dairy Co.,Ltd. will acquire 69.8% stake from Kedi Foods Group Co., Ltd. and will issue CNY 300 million in cash and issue 193.5 million shares at CNY 3.86 each; and will acquire 30.2% stake from 29 natural investors and will issue 117.4 million shares at CNY 3.86 each. The transaction will be funded by CNY 800 million raised in private placement. The transaction is subject to approval from Board and shareholders of Henan Kedi Dairy Co.,Ltd. and from China Securities Regulatory Commission. As on May 23, 2018, the Board of Kedi Foods Group Co., Ltd. approved the transaction and on May 24, 2018, the shareholders of Kedi Foods Group Co., Ltd. approved the transaction. As on May 25, 2018, the Board of Henan Kedi Dairy Co.,Ltd. approved the transaction. Central China Securities Co., Ltd. (SEHK:1375) acted as financial advisor for Henan Kedi Dairy Co.,Ltd. Henan Kedi Dairy Co.,Ltd. (SZSE:002770) cancelled the acquisition of Henan Kedi Frozen Foods Co., Ltd. from Kedi Foods Group Co., Ltd. and others on April 15, 2019.