Huaibei Mining Co., Ltd. agreed to acquire Anhui Leimingkehua Co.,Ltd. (SHSE:600985) in a reverse merger transaction on November 27, 2017. Under the terms of transaction, Anhui Leimingkehua Co.,Ltd. will issue 1.74 billion new shares. As of January 10, 2018, the number of shares to be issued was revised to 1.79 billion. As of May 22, 2018, the number of shares to be issued was revised to 1.81 billion. As on June 29, 2018, the deal terms were revised and the transaction price of 100% stake in Huaibei Mining Co., Ltd. was adjusted back from CNY 21.07 billion to CNY 20.92 billion at the same time, volume of shares to be issued was adjusted accordingly. Anhui Leimingkehua Co.,Ltd will issue shares and pay in cash to acquire 99.95% stake in Huaibei Mining Co., Ltd., wherein the company will pay a total of CNY 500 million in cash to acquire Huai Bei Mining Group Ltd.?s 2.39% stake in Huaibei Mining Co., Ltd. Anhui Leimingkehua Co.,Ltd will issue a total of 1.8 billion shares to 15 legal entities and 3 individuals to acquire a total of 97.56% stake in Huaibei Mining Co., Ltd. Hunan Leiming West Civil Explosive Co., Ltd., wholly owned subsidiary of Anhui Leimingkehua Co.,Ltd will pay a total of CNY 10.5 million in cash to pay for Huai Bei Mining Group Ltd.?s 0.05% stake in Huaibei Mining Co., Ltd. in cash. As of July 16, 2018, the number of shares to be issued was revised to 1.81 billion. Anhui Leimingkehua Co.,Ltd. will also pay a cash consideration of CNY 510.34 million to Huai Bei Mining Group Ltd, the parent of Huaibei Mining Co., Ltd., making the transaction price as CNY 21.1 billion. Concurrently, Anhui Leimingkehua Co.,Ltd. will issue shares to not more than 10 specific investors to raise supporting funds of not more than CNY 630 million. The transaction is subject to approval from the shareholders and the Board of Directors of Anhui Leimingkehua Co.,Ltd., Antimonopoly Bureau of the Ministry of Commerce, China Securities Regulatory Commission, and State Market Supervision and Administration Bureau conducting a centralized review and approval of the operators involved in the reorganization. As of November 28, 2017, the Board of Directors of Anhui Leimingkehua Co.,Ltd. and Huai Bei Mining Group Ltd approved the transaction. As of January 29, 2018, the shareholders of Anhui Leimingkehua Co.,Ltd approved the transaction. Anhui Leimingkehua Co.,Ltd. recently received the decision on non-implementation of further review for the concentration of undertakings issued by the Antimonopoly Bureau of the State Administration for Market Regulation. As on July 12, 2018, Anhui Leimingkehua Co.,Ltd received a notice from the CSRC stating that their 2018 4th M&A working committee revised and approved the deal. However, officially approval documents have not been received. He Guangxing, Yuan Dajun, Hu Yongshun, Wang Hongyang, Zhou Xinchen, Liu Jinhao and Xia Chuan of Guoyuan Securities Company Limited acted as financial advisors, Zhang Xiaojian, Li Gang, Wang Wei and Hu Chengwei of Tianhe Law Office acted as legal advisors and Huang Yaqiong, Xiong Mingfeng, Guo Kai and Bao Guangrong of Huapu Tianjian (Beijing) Certified Public Accountants Co, Ltd acted as accountants to Anhui Leimingkehua Co.,Ltd. Guosen Appraissals acted as an appraiser in the transaction. Huaibei Mining Co., Ltd. completed the acquisition of Anhui Leimingkehua Co.,Ltd. (SHSE:600985) in a reverse merger transaction on August 4, 2018.