Henan Zhongfu Industrial Co., Ltd (SHSE:600595) signed an equity transfer agreement to acquire remaining 41.05% stake in Henan Zhongfu Electric Power Co. Ltd. from Henan Yulian Energy Group Company Ltd. for approximately CNY 510 million in cash on January 4, 2013. The transfer price shall be entirely paid within 60 days from the date of signing of this agreement. Zhongfu Electric Power will become a wholly-owned subsidiary of Henan Zhongfu Industrial Co., Ltd.

As of December 31, 2011, Zhongfu Electric Power has total assets of CNY 6.35 billion, total liabilities of CNY 5.37 billion and net assets of CNY 972 million; total loss for January-December 2011 is CNY 157.56 million and net loss is CNY 157.56 million. As of October 31, 2012, Zhongfu Electric Power has total assets of CNY 6.41 billion, total liabilities of CNY 5.50 billion, and net assets of CNY 904.15 million. The transaction was approved by the all the 3 members of the Board of Directors and Supervisors of Henan Zhongfu Industrial. Further the transaction will be discussed in the shareholders' meeting of Henan Zhongfu Industrial on January 22, 2013. As of January 22, 2013, the shareholders of Henan Zhongfu Industrial Co.,Ltd has approved the transaction.

Henan Zhongfu Industrial Co., Ltd (SHSE:600595) cancelled the acquisition of remaining 41.05% stake in Henan Zhongfu Electric Power Co. Ltd. from Henan Yulian Energy Group Company Ltd. on January 4, 2014.