Hubei Biocause Pharmaceutical Co., Ltd. (SZSE:000627) agreed to acquire remaining 49% stake in Guohua Life Insurance Co., Ltd. from Hainan Kaiyi Industrial Co., Ltd., Shanghai Boyonglun Technology Co., Ltd., Ningbo Hanshengxin Investment Co., Ltd., Hubei Hongtai State-owned Capital Investment Operation Group Co., Ltd., Wuhan Real Estate Development & Investment Group Co., Ltd. and Wuhan Jiang’an State-owned Asset Management Co., Ltd. on August 19, 2019. Hubei Biocause Pharmaceutical will conduct a merger by absorption of Guohua Life by issuing shares, convertible bonds and paying cash. Hubei Biocause Pharmaceutical shall raise supporting fund through convertible bonds to be issued which will be used to pay for this transaction’s intermediary institution fees and to replenish Hubei Biocause Pharmaceutical’s capital. After the completion of the merger by absorption, Hubei Biocause Pharmaceutical will take over all assets, liabilities, licenses, businesses, personnel and all other rights and obligations of Guohua Life. Guohua Life will cease to exist and the listed company will change its name to “Guohua Life Insurance Co., Ltd.” This transaction is subject to Hubei Hongtai, Wuhan Real Estate, Jiang’an State-owned must conduct their respective internal decision-making and approval procedures, approvals of Guohua Life’s shareholders’ meeting, Hubei Biocause Pharmaceutical’s shareholders’ meeting, China Securities Regulatory Commission (CSRC) and China Banking Regulatory Commission. On August 26, 2019, Guohua Life Insurance held the 2nd session of its 5th directorate and the 2nd session of its 5th supervisory board, approving this transaction. On August 23, 2019, Hainan Kaiyi Industrial, Shanghai Boyonglun Technology and Ningbo Hanshengxin Investment held their shareholders’ meeting, approving this transaction. On August 19, 2019, Hubei Hongtai State-owned Capital Investment Operation Group held the 34th session of its 4th directorate, approving this transaction. On August 19, 2019, Wuhan Real Estate Development & Investment Group held its directorate meeting, approving this transaction. On August 19, 2019, Wuhan Jiang’an State-owned Asset Management held its directorate meeting, approving this transaction. Hubei Biocause Pharmaceutical appointed Guotai Junan Securities Co., Ltd. to act as its independent financial advisor for this transaction and appointed Citi Orient Securities Co., Ltd. and Changjiang Financing Services Co., Limited to act as its financial consultant for this transaction. Hubei Biocause Pharmaceutical Co., Ltd. (SZSE:000627) cancelled the acquisition of remaining 49% stake in Guohua Life Insurance Co., Ltd. from Hainan Kaiyi Industrial Co., Ltd., Shanghai Boyonglun Technology Co., Ltd., Ningbo Hanshengxin Investment Co., Ltd., Hubei Hongtai State-owned Capital Investment Operation Group Co., Ltd., Wuhan Real Estate Development & Investment Group Co., Ltd. and Wuhan Jiang’an State-owned Asset Management Co., Ltd on May 26, 2020.