Shanghai Broadband Technology Co.,Ltd (SHSE:600608) agreed to acquire Yunnan Kunming Investment and Supply Chain Management Co., Ltd. from Kunming Transportation Investment Co., Ltd. and Yunnan Hongshi Enterprise Management Co., Ltd. for CNY 1.5 billion on June 3, 2019. The consideration will be paid in Class A shares of Shanghai Broadband Technology. Under the terms of the transaction, Shanghai Broadband Technology will issue 167.8 million shares to Kunming Transportation Investment and 161.3 million shares to Yunnan Hongshi Enterprise Management. For the year ended December 31, 2018, Yunnan Kunming Investment and Supply Chain Management Co., Ltd. reported total assets of CNY 2.3 billion, revenues of CNY 11.2 billion, EBIT of CNY 119.3 million, net income of CNY 89.5 million and net assets of CNY 697.1 million. The transaction is subject to approval of the competent state-owned assets department, approval of board of directors and shareholders of Shanghai Broadband Technology, approval of China Securities Regulatory Commission and The State Administration of Market Supervision examining the concentration of operators involved in the transaction. The transaction has been reviewed and approved by the internal decision-making body of Yunnan Kunming Investment and Supply Chain Management and by the internal decision-making body of Kunming Transportation Investment and Yunnan Hongshi Enterprise Management. The transaction has also been approved by the Board of Directors of Shanghai Broadband Technology. On September 2, 2019, Kunming State-owned Assets Supervision and Administration Commission approved the transaction.