Shareate Tools Ltd. (SHSE:688257) agreed to acquire 60% stake in Zhuzhou Weikai Cutting Tools Co., Ltd. from Zhuzhou Jinwei Cemented Carbide Co., Ltd. on November 3, 2021. Shareate Tools Ltd. (SHSE:688257) signed an equity transfer agreement to acquire 60% stake in Zhuzhou Weikai Cutting Tools Co., Ltd. from Zhuzhou Jinwei Cemented Carbide Co., Ltd. on December 15, 2021. As per the transaction, Shareate Tools Ltd. will obtain no less than 66% of Zhuzhou Weikai Cutting Tools Co., Ltd.'s equity via both an MA and a capital increase for no more than CNY 112 million.

The transaction will be financed from over-raised funds of CNY 70.80 million. As on July 31, 2021, Zhuzhou Weikai Cutting Tools Co., Ltd. generated total assets of CNY 60.7 million and net assets of CNY 43.4 million. The transaction is approved by board of directors of Shareate Tools Ltd. The transaction is approved by shareholders of Shareate Tools Ltd.