Dream International Limited (SEHK:1126) entered into a memorandum of understanding to acquire C & H Tarps Co., Ltd. from C&H Co., Ltd. on September 13, 2019. The payment schedule of the consideration shall be subject to mutual agreement when the parties sign a formal definitive agreement. As on November 29, 2019, Dream International Limited signed a definitive agreement with C&H Co., Ltd. to acquire C & H Tarps Co., Ltd. for approximately HKD 39.6 million (equivalent to approximately $5 million). The consideration shall be paid in cash. Pursuant to the agreement, Dream International Limited shall pay HKD 7.83 million (equivalent to approximately $1 million) as first installment within five business days from the date of agreement and second installment of HKD 31.32 million (equivalent to approximately $4 million) shall be paid within twenty business days from the date of first installment or on December 27, 2019, whichever is earlier. In related transaction, Dream International Limited will acquire C&H Vina Joint Stock Company. The consideration shall be financed from the internal resources of Dream International Limited and unsecured revolving bank loans. Upon completion of the transaction, each of C&H Vina and C & H Tarps will become a wholly owned subsidiary of Dream International Limited. For the period ended December 31, 2018, C & H Tarps Co., Ltd. has reported revenues of HKD 24.04 million, profit before tax of approximately HKD 7.3 million and profit after tax of approximately HKD 5.8 million. The Directors of Dream International Limited consider that the entering into of the memorandum of understanding is fair and reasonable and in the interests of Dream International and its shareholders as a whole. The transaction is subject to certain conditions including obtaining all regulatory approvals with the relevant authorities in Vietnam and provision of true warranties and signing of a definitive agreement. The transaction was approved by shareholders of Dream International Limited on March 23, 2020. The agreements will be terminated if conditions precedent are not satisfied within three months from agreement date or parties agrees in writing to terminate the agreement prior to its expiry which is December 31, 2019. Completion shall be no later than three business days from the date on which Dream International Limited confirms its satisfaction to the conditions. Dream International Limited (SEHK:1126) completed the acquisition of C & H Tarps Co., Ltd. from C&H Co., Ltd. on March 31, 2020. Upon completion of the Acquisition, C & H Vina and C & H Tarps became wholly-owned subsidiaries of Dream International.